Which of the Following BEST Describes What Is Called the "Open-Market

question 68

Multiple Choice

Which of the following BEST describes what is called the "open-market operations" of the Federal Reserve System?

• A) The development of new financial opportunities for banks
• B) The minting of new money to disperse into the money market
• C) The control of interest rates among banks
• D) The maintenance of a well-functioning lending system among banks
• E) The buying and selling of securities by the Fed

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Definitions:

Asset Distribution

The process of allocating assets, either during a person’s life or after death, according to the person's wishes or legal agreements.

Profitable

Describes a situation, venture, or entity that generates more revenue than the expenses incurred, resulting in financial gain.

Capital Account

In finance, a record of the financial transactions and investments between residents of a country and the rest of the world.

Capital Account

A national account that shows the net change in asset ownership for a country over a period of time.