The Federal Reserve Was Established in 1913 to

question 167

Multiple Choice

The Federal Reserve was established in 1913 to

• A)prevent inflation by decreasing the money supply.
• B)stimulate the economy by increasing bank reserves.
• C)stop bank panics by acting as a lender of last resort.
• D)prevent bad loans by requiring banks to hold reserves.

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Definitions:

Holden Caulfield

The fictional protagonist of J.D. Salinger's novel "The Catcher in the Rye," known for his critical outlook on society and struggle with the concept of adulthood.

Soviet Union

A former federal socialist state in Eastern Europe and Northern Asia, existing from 1922 to 1991, known for its communist form of government.

Business Firms

Organizations involved in commercial, industrial, or professional activities, typically designed to provide goods or services to consumers.

Foreigners

This term refers to individuals or entities that are from a country different from the one in question, often used in the context of economics to discuss foreign investors or workers.