Tema
Q:
Which scenario is most likely to result when the Federal Reserve raises the reserve requirement?
(A) More money is required to be kept in banks to loan out to businesses, so they can invest in their
companies.
(B) More money is required to be kept in bank reserves, and less is available to be loaned out
to businesses to invest in the economy.
(C) More money is required to be kept in the Federal Reserve banks to make it available for loans to
member banks in poor economic times.
(D) More money is required to be kept in the Federal Reserve banks, which increases the amount of
money in circulation and stimulates the economy.
Q:
During an economic recession the Federal Reserve Banks will most likely react by -
(A) easing monetary policy making it easier to lend money
(B) raising the discount rate to affect the monetary supply
(C) tightening monetary policy making lending more difficult
(D) reducing open market transactions to reduce the money supply
(D)
Q:
A decline in the value of the U.S. dollar will likely result in an increase in the -
(A) use of bartering
(B) price of products
(C) use of credit cards
(D) amount of gold reserves
Q:
Question 3 of 5
How have stock exchanges changed over time?
Q:
One way the Federal Reserve can counter unemployment and stimulate spending is by -
(A) selling securities
(B) decreasing the discount rate
(C) tightening monetary policies
(D) increasing the reserve requirement
Q:
12 years ago, you borrowed money at \( 15 \% \) (Compounded Continuously), the
rrent balance due is \( \$ 207 \). How much did you borrow?
Q:
Which person would keep up with the news to help their clients decide
which investments to buy and sell?
Q:
In order to require banks to hold more money as opposed to lending it, the Federal Reserve can -
(A) decrease the discount rate
(B) decrease the federal funds rate
(C) increase the reserve requirement
(D) suspend the federal funds rate target
Q:
Quiz
Whestion 1 of 5
What is the place where investments are bought and sold called?
Select a response.
Q:
In order to require banks to hold more money as opposed to lending it, the Federal Reserve can -
(A) decrease the discount rate
(B) decrease the federal funds rate
(C) increase the reserve requirement
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