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With so much money changing hands electronically now, all they have to do is say "Make it so". They actually didn't need the bailout money either, it could have been done without increasing the debt of the government, and it's interesting to note that the BANKS have gotten that money and are hanging on to it.

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16y ago

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What government agency conducts monetary policy in the United States?

The Federal Reserve is responsible for managing the money supply in the U.S.


Why might the Federal Reserve influence the money supply and interest rates in the economy?

The Federal Reserve influences the money supply and interest rates in the economy to help regulate economic growth, control inflation, and stabilize the financial system. By adjusting these factors, the Federal Reserve can encourage borrowing and spending, or saving and investing, to achieve its economic goals.


Which of the following factors does not reduce the Federal Reserve's control of the money supply?

The factor that does not reduce the Federal Reserve's control of the money supply is the ability to set reserve requirements for banks.


Is the money supply of the US controlled by the treasury department?

No, the money supply in the U.S. is primarily controlled by the Federal Reserve, which is the central bank of the country. The Federal Reserve uses tools like open market operations, the discount rate, and reserve requirements to influence the amount of money in circulation. The U.S. Treasury Department manages federal finances, including issuing debt and managing currency, but it does not directly control the money supply.


How do the federal reserves actions influence the money supply?

The Federal Reserve wants to affect the money supply because the amount of money on the street at any given time affects the overall value of the individual dollar.


What is is the purpose of the Federal reserve bank?

The Federal Reserve Bank manages the U.S. economy by controlling the money supply.


How the the tools used by the Federal Reserve to control the money supply influence the money supply and in turn affect macroeconomic factors?

The economy of a country is affected by an infinite number of factors.


When the federal reserve decreases the money supply it generally does by selling bonds true or false?

It is true that when the Federal Reserve decreases the money supply it generally does by selling bonds. When the Federal Reserve sells bonds it pushes prices down and increases rates.


How does the Federal Reserve use which of the following to regulate the nation's money supply?

The Federal Reserve uses tools like open market operations, reserve requirements, and the discount rate to regulate the nation's money supply.


What actions could the Federal Reserve take to decrease the money supply?

The Federal Reserve could decrease the money supply by raising interest rates, selling government securities, or increasing reserve requirements for banks.


The Federal Reserve wants to increase the money supply in the US. What is the Federal Reserve likely to do to accomplish this?

buy securities on the open market.


The Federal Reserve System controls the size of the?

Money supply