ECONOMICS
FEDERAL RESERVE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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President
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Federal Trade Commission
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House of Representatives
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Federal Open Market Committee
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Detailed explanation-1: -The Federal Reserve Act of 1913 gave the Federal Reserve responsibility for setting monetary policy. The Federal Reserve controls the three tools of monetary policy–open market operations, the discount rate, and reserve requirements.
Detailed explanation-2: -The Federal Open Market Committee (FOMC) conducts monetary policy by adjusting the target range for the federal funds rate. The Fed implements monetary policy by using its monetary policy tools to ensure that market interest rates are at levels consistent with the FOMC’s target.
Detailed explanation-3: -The Federal Open Market Committee (FOMC or Committee) is responsible for monetary policy decisions to achieve these goals.
Detailed explanation-4: -The Federal Reserve, the central bank of the United States, provides the nation with a safe, flexible, and stable monetary and financial system.