In Addition to Paying Interest on Reserves Starting in October

question 34

Multiple Choice

In addition to paying interest on reserves starting in October 2008, the Fed also provided

• A)lending against a variety of collateral, such as commercial paper and mortgage-backed securities.
• B)advice on how to conduct contemporaneous reserve accounting.
• C)the power for banks to print and distribute their own currency.
• D)staff people to help banks make real-estate decisions regarding the locations of their branch offices.

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Definitions:

Mens Rea

A legal term referring to the criminal intent or state of mind of an individual committing a crime, essentially the mental aspect of a crime.

Fourth Amendment

Part of the U.S. Constitution that protects citizens against unreasonable searches and seizures, requiring any warrant to be judicially sanctioned and supported by probable cause.

Blue-Collar Crimes

Typically refers to crimes committed by individuals from a lower social class, often involving manual labor or physical work, as opposed to white-collar crimes that are usually financially motivated and committed by individuals in a higher social class.

Larceny

The theft of personal property without consent and with the intent to permanently deprive the owner of it.