Federal Reserve Quiz 1 (25 MCQs)

Quiz Instructions:

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1. The Monetary Control Act of 1980 required the Fed to _____

2. The Truth in Lending Act requires banks to _____

3. Federal Reserve head offices each have a _____ member board of directors.

4. Elementary schools, police departments, and electrical service are typically paid for by

5. Why do people accept money as payment for goods and services?

6. The parts of the federal government that regulate businesses and the free market, all mostly include what in their name?

7. The Required Reserve Ratio, Federal Funds Rate, and Discount Rate are all tools of _____

8. The 2004 Check Clearing for the 21st Century Act, was also known as Check 21, permits banks to

9. How many reserve banks are there?

10. Who supervises banks to make sure that they are not doing anything illegal?

11. Leyla bought a bagel with coins issued by the government. This type of money is

12. Jill bought a laptop with a silver receipt (paper that can be traded for silver). This type of money is

13. The federal government might use fiscal policy to slow down an economic expansion by _____ federal spending & _____ federal taxes.

14. Which of the following is the single largest federal expenditure?

15. What is clearinghouse?

16. When was the Federal Reserve Act signed into law?

17. Earnings on stocks are called

18. Which of the following will likely slow economic growth?

19. The financial crisis beginning in the late 2000's was initially linked to which economic sector?

20. Which of the following is NOT a type of currency?

21. What is the Federal Reserve's primary source of income?

22. What do state governments spend he most on?

23. Each Federal Reserve district president reports to the

24. Which Federal Reserve district serve the largest number of states>

25. Who sells government bonds?