The Primary Tool the Fed Uses to Control the Money

question 137

Multiple Choice

The primary tool the Fed uses to control the money supply today is:

• A)the discount rate.
• B)the required reserve ratio.
• C)the discount window.
• D)chartering.
• E)open market operations.

---

Definitions:

Energy Independence

The condition of a nation being able to meet all its energy needs without having to import fuels or energy from other countries.

U.S. Policy

The strategic decisions and actions taken by the United States government to address domestic and international issues.

Crime Rates

Statistics that measure the occurrence of crimes within a given area over a specified period, often used to assess safety and enforcement effectiveness.

Mid-nineteenth Century

Refers to the time period between 1850 and 1869, marking the middle of the 19th century.