It is the responsibility of the Trading Desk at the Federal Reserve Bank of New York to implement policies in the form of
A. changes in the spread between the federal funds rate and the discount rate that are consistent with rules established by the twelve Federal Reserve bank presidents.
B. changes in foreign exchange rates that are consistent with policies established by the Secretary of the Treasury.
C. buying or selling government securities that are consistent with the FOMC Directive.
D. variations in reserve requirements that are consistent with the announcements by the Chair of the Fed's Board of Governors.
Answer: C
You might also like to view...
The median voter theorem states that the outcome of a majority vote is likely to represent the preferences of the voter who is in the political middle
Indicate whether the statement is true or false
"In the shift from no trade to free trade, the monopolistic competition model can predict which specific varieties of products will be produced by which countries, and the models based on substantial scale economies can predict which countries will be the major production locations for a product." Are these claims correct? Explain briefly.
What will be an ideal response?
Refer to the above graph for a private closed economy. The multiplier for the above economy is:
A. 2
B. 3
C. 4
D. 5
Suppose it costs a farmer $1.00 to produce 1 unit of corn, $2.10 to produce 2 units of corn, and $3.30 to produce 3 units of corn. What's the marginal cost of producing 2 units of corn?
A) 0 B) 10 cents C) $1.10 D) $2.00 E) $2.10