Comparing the European and the U

question 63

Multiple Choice

Comparing the European and the U.S.central bank systems, the Executive Board of the European system resembles:

• A)The FOMC
• B)The Board of Governors
• C)The Presidents of the regional Federal Reserve Banks
• D)The Chairman of the Board of Governors of the Fed

---

Definitions:

Preferred Stocks

A class of ownership in a corporation with a higher claim on assets and earnings than common stock, usually with dividends that are paid out before common stock dividends.

Common Stocks

Common stocks represent units of ownership in a corporation, providing voting rights and entitling the shareholder to a share of the company's success through dividends and/or capital appreciation.

Fixed Maturity Date

The predetermined date on which a financial instrument, such as a bond, loan, or investment, is due to be repaid or mature.

Ownership

The legal right to possess, use, and dispose of anything of value, including tangible and intangible assets.