What are the limitations to the Fed's independence?
What will be an ideal response?
First, the president can exercise control over the membership of the Board of Governors. In addition, the president may appoint a new chairman every four years. Second, although the Fed's significant net income exempts it from requesting money from Congress, the Fed remains a creation of Congress, so Congress can amend the Fed's charter and powers—or even abolish it entirely.
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Which of the following is not a result of a reduction in the federal budget deficit?
A) a lower real interest rate B) an appreciation of the currency C) a rise in exports D) a fall in the price of foreign inputs
One of the earliest known rent control laws was instituted in which city and when?
a. New York at the start of WWII b. Washington D.C. during the Civil War C. Paris in the 1700s d. Rome in the 1400s e. Chicago during the Great Depression