Which of the Following Is True of the Fed

question 71

Multiple Choice

Which of the following is true of the Fed?

• A)The law lets the Fed decide how best to promote full employment and output in the U.S.economy.
• B)It relies heavily on Congressional appropriations.
• C)The president sits on the Board of Governors.
• D)Congress must approve any new monetary policy.
• E)The president must approve any new monetary policy.

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Definitions:

Third Party

A third party is an entity that is neither the principal nor the counterparty in a transaction, agreement, or legal case but may have an interest or be indirectly involved.

Guaranty Contract

A legal agreement wherein a guarantor agrees to fulfill the obligations of a debtor to a lender, should the debtor fail to do so.

Creditor

An entity (person or institution) that lends money or extends credit to another entity, with the expectation of being repaid in the future.

Debtor's Debt

Debtor's debt refers to the monetary obligation owed by a debtor to a creditor, resulting from a loan or another credit agreement.