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The Fed Relies Primarily on the Discount Rate to Control

question 50

True/False

The Fed relies primarily on the discount rate to control the money supply.

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Definitions:

Executive Order

A legal rule issued by a chief executive (e.g., the president or a state governor), usually pursuant to a delegation of power from the legislature.

Rulemaking Power

The authority granted to regulatory agencies to create rules and regulations that have the force of law.

Ministerial Power

The authority granted to government officials to perform certain predefined duties, often without the power to use personal discretion.

Adjudicatory Powers

The authority granted to courts or other bodies to interpret and apply laws in legal disputes.

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