Why does the Federal Reserve Bank of New York play a special role within the Federal Reserve System?
What will be an ideal response?
The New York district contains the largest banks in the country. The New York Fed supervises and examines these banks to insure their soundness and the safety of the nation's financial system. The New York Fed conducts open market operations and foreign exchange transactions for the Fed and Treasury. The New York Fed belongs to the Bank for International Settlements, so its president and the chairman of the Board of Governors represent the U.S. at the monthly meetings of the world's central banks. The New York Fed president is the only president of a regional Fed who is a permanent voting member of the FOMC.
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At market equilibrium,
A) quantity demanded equals quantity supplied. B) shortages are greater than surpluses. C) surpluses are greater than shortages. D) demand equals supply.
A quota is a numerical limit on the quantity of a good that can be imported
Indicate whether the statement is true or false
It may be argued that Japan's explicit promotion of its microchip industry was an excellent example of successful industrial policy
What criteria would you apply to determine whether such a policy is or is not successful? Judging from your own stated criteria, was Japan's exercise successful? Why or why not? What information would a government require in order to increase the probability that its industrial policy would promote long term self-generated economic growth?
Which of the following will most likely increase aggregate demand?
a. A decrease in stock market prices. b. An increase in business investment spending. c. A decrease in the expected inflation rate. d. A decrease in real GDP.