In Addition to Open Market Operations and the Required Reserve

question 291

Multiple Choice

In addition to open market operations and the required reserve ratio, another tool of monetary policy available to the Fed is

• A) fiscal policy.
• B) tax rates and the progressivity of the income-tax system.
• C) government spending and various transfer-payment programs.
• D) the difference between the discount rate and the federal funds rate.

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Definitions:

Architect

A professional who designs buildings and in many cases also supervises their construction.

Multiple Intelligences

A theory by Howard Gardner suggesting individuals possess various forms of intelligence, including linguistic, logical-mathematical, musical, spatial, bodily-kinesthetic, interpersonal, intrapersonal, and naturalistic.

Spatial Intelligence

The cognitive ability to visualize and manipulate objects and their spatial relations in the mind, important for solving spatial problems and navigating environments.

IQ Score

A measure of a person's intellectual abilities in relation to an average score for a large population, usually determined by an intelligence test.