Which of the Following Powers or Tools of Federal Reserve

question 62

Multiple Choice

Which of the following powers or tools of Federal Reserve monetary policy has the greatest impact on the money supply?

• A) discount rate
• B) Regulation Q
• C) open market operations
• D) bank examination
• E) All of the above have about the same impact.

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Definitions:

Brain

A complex organ of the central nervous system, responsible for processing sensory information, regulating bodily functions, and enabling cognitive abilities such as thought and emotion.

Neuron

A specialized cell of the nervous system responsible for transmitting information throughout the body in the form of electrical and chemical signals.

Nerve Cell

Also known as a neuron, it is the fundamental unit of the nervous system responsible for transmitting information throughout the body via electrical and chemical signals.

Central Nervous System

The part of the nervous system that includes the brain and spinal cord, responsible for processing sensory information and coordinating body function.