Although a corporation that is owned by its member banks, the Federal Reserve System

A. reports directly to the president in an annual report.
B. is quite independent of them, and they receive almost none of the Fed’s profits.
C. is administered by Congress and all its profits are distributed to the member banks.
D. turns all its profits over to the state governments of each district bank.


Answer: B

Economics

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In 2009, the Social Security System ran a surplus of approximately $137 billion.

Answer the following statement true (T) or false (F)

Economics

___________ profit is a cash concept—the difference between dollars brought in and dollars paid out.

a. Accounting b. Explicit c. Economic d. Implicit

Economics

Which of the following is correct?

a. Inflation impedes financial markets in their role of allocating savings to alternative investments. b. Inflation encourages savings through the tax treatment on capital gains. c. Inflation encourages larger holdings of currency by the public. d. Inflation reduces people's real purchasing power.

Economics

Entitlements have a great deal in common with

A. private savings plans. B. defined benefit pension programs. C. defined contribution programs. D. Ponzi schemes.

Economics