Which Statement Explains Why the Federal Reserve Has a Tough

question 90

Multiple Choice

Which statement explains why the Federal Reserve has a tough job?

• A) There are lags in the effects of monetary policy, and economic conditions continuously change.
• B) Legally they are not allowed to change the supply of money, they can only make recommendations to the President.
• C) It takes a long time for Congress to agree on a policy.
• D) They can change the supply of money but that doesn't affect spending or the rate of unemployment.

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Definitions:

Helminth

Parasitic worms, including flukes, tapeworms, and roundworms, that can cause disease in humans.

Protozoan

A diverse group of single-celled eukaryotic organisms, many of which are parasitic.

Bacterium

A large domain of prokaryotic microorganisms, typically a few micrometers in length, that can exist as single cells or in clusters, and have various roles in the environment, medicine, and industry.

Prion

Infectious agents composed of protein in a misfolded form, associated with several neurodegenerative diseases.