Which of the Following Was True of the Actions of the Federal

question 79

Multiple Choice

Which of the following was true of the actions of the Federal Reserve in response to the recession of 2008?

• A) The Fed shifted toward a highly restrictive monetary policy in 2008, which was a major cause of the recession.
• B) The Fed continued to focus only on price stability and therefore it expanded the money supply at a slow and steady rate throughout the recession.
• C) The Fed introduced several new procedures for the conduct of monetary policy and it increased the monetary base rapidly as the recession worsened.
• D) The Fed continued to purchase and sell only U.S. Treasury bonds when conducting open market operations to control the money supply.

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Definitions:

Avoid Probate

Strategies or legal steps taken to enable the transfer of assets upon someone's death directly to the beneficiaries without going through the probate process, often involving trusts or joint ownerships.

Transfer Property

The act of legally changing the ownership of property from one person or entity to another.

Equitable Distribution

A legal principle used in divorce proceedings to fairly divide property between spouses.

Dividing Property

The process of allocating and distributing physical or intangible assets among parties, often occurring in contexts like divorce, estate planning, or dissolution of partnerships.