Which of the Following Statements About the Federal Reserve Bank

question 154

Multiple Choice

Which of the following statements about the Federal Reserve Bank (the Fed) is most accurate?

• A) The Fed is an agency of the U.S. Treasury Department that has the responsibility of collecting tax receipts for the IRS.
• B) The Fed manages the U.S. money supply and interest rates.
• C) The Fed is the primary government agency involved in carrying out our nation's fiscal policies.
• D) The Fed is the agency of the government that ensures the U.S. maintains enough gold reserves to pay any foreign debts that result from international trade.