Asked by Tequila Barnes on Jul 15, 2024
Verified
The rate of growth of our money supply is controlled by
A) the president.
B) Congress.
C) the Federal Reserve.
D) the United States Treasury.
E) tax legislation.
Money Supply
The total amount of monetary assets available in an economy at any given time.
Federal Reserve
The central banking system of the United States, responsible for monetary policy, including regulating interest rates and managing the country's money supply.
- Absorb the duties and roles associated with the Federal Reserve System in the United States.
- Know the impact of Federal Reserve policies on the economy, including inflation, interest rates, and the money supply.
Verified Answer
DR
D'Ondre RobinsonJul 16, 2024
Final Answer :
C
Explanation :
The rate of growth of our money supply is controlled by the Federal Reserve. The Federal Reserve is responsible for managing the money supply and uses tools such as open market operations, setting reserve requirements for banks, and adjusting interest rates to control the growth of the money supply. The president, Congress, the Treasury, and tax legislation can all have an impact on the economy, but they do not directly control the money supply.
Learning Objectives
- Absorb the duties and roles associated with the Federal Reserve System in the United States.
- Know the impact of Federal Reserve policies on the economy, including inflation, interest rates, and the money supply.