Which of the Below Statements Is FALSE

question 40

Multiple Choice

Which of the below statements is FALSE?

• A) The Fed can affect the rate of growth in the money supply by various means besides its control of reserves in the banking system.
• B) A problem in the implementation of monetary policy is that the Fed has no direct control over the goals that are the final objectives of its policies.
• C) The growth in the money supply depends to a substantial extent on the preferences, actions, and expectations of numerous banks, borrowers, and consumers.
• D) The Fed uses one or more of its tools to affect what are called operating targets, which are monetary and financial variables whose changes tend to bring about changes in intermediate targets.

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Definitions:

Genetic Material

The molecules that carry the genetic information in living organisms, primarily DNA and RNA.

Direct Contact

A mode of transmission for diseases or information that involves physical touch or close proximity between individuals.

Prokaryotes

Single-celled organisms without a nucleus, including bacteria and archaea.

Commercial Technology

Technology developed and used for business purposes, including the trade of goods and services.