The Monetary Base Is Which of the Following

question 62

Multiple Choice

The monetary base is which of the following?

• A)reserves plus currency in the hands of the public
• B)deposits at the Fed, vault cash, and currency in the hands of the public
• C)deposits at the Fed plus currency outside the Fed
• D)All of the above are correct.

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Definitions:

Enabling Legislation

Laws that provide the necessary authority for an entity or agency to carry out its powers and duties.

Discretionary Powers

The authority granted to an official or a body to act according to their own judgment and conscience in certain situations.

Informal Powers

Powers not explicitly stated in laws or regulations but exercised by individuals or institutions through influence, negotiation, or personal authority.

Regulated Industries

Sectors under the direct control and rules of governmental agencies to ensure safety, fairness, and compliance.