The U.S. central bank is the government institution that:
A) monitors financial institutions, controls the money supply, and invests in foreign assets.
B) monitors financial institutions, controls the money supply, and sets certain key interest rates.
C) monitors financial institutions, controls the money supply, sets certain key interest rates, and decides on political targets.
D) controls the money supply and invests in foreign assets.
B
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The prohibitive tariff is a tariff that
A) is so high that it eliminates imports. B) is so high that it causes undue harm to trade-partner economies. C) is so high that it causes undue harm to import competing sectors. D) is so low that the government prohibits its use since it would lose an important revenue source. E) is so low that it causes domestic producers to leave the industry.
A subsidy payment, even if paid entirely to the seller, will impact the price, supply of, and quantity demanded of a good
a. True b. False Indicate whether the statement is true or false