The Fed Does Not Have to Go Through the Normal

question 77

Multiple Choice

The Fed does not have to go through the normal congressional appropriations process because

• A)its expenses are very small.
• B)it was given enough funds at the time of its founding to provide for its expenses indefinitely.
• C)it is self financing.
• D)it is not part of the legislative branch of the federal government.

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Definitions:

Payroll Tax

Taxes imposed on employers and/or employees, and are usually calculated as a percentage of the salaries that employers pay their staff.

Labor Supply

The total hours that workers are willing and able to work at a given wage rate.

Payroll Tax

Levies charged to both employers and employees, based on a percentage of the wages that employees receive from their employers.

Take Home Pay

The net amount of income that an employee receives after deductions like taxes and social security contributions.