Federal Reserve Word Scramble
|
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
| Question | Answer |
| Oregon is in the _____ Federal Reserve District which has a Federal Reserve Bank in _______. | 12th; San Francisco |
| Who is the current Chair of the Federal Reserve? | Jerome Powell |
| What must the government do to reduce high inflation when it comes to spending and the money supply? | Decrease both spending and the money supply |
| What tool does the Fed rely on the most in conducting policy? | open market operations (buying and selling bonds) |
| If the FOMC decides to expand the money supply it would issue a directive to (buy/ sell) government securities. | buy |
| Who selects members of the Board of Governors of the Federal Reserve and how long are their terms? | The President for appoints them for 14-year terms |
| Federal Open Market Committee consists of how many voting members? | 12 (the 7 Board of Governors and 5 of the 12 District bank presidents) |
| Who controls the Federal Reserve system? | it is an independent agency controlled by the Board of Governors of the Federal Reserve |
| What is the Federal Reserve system? | The central banking system for the United States |
| The Federal Reserve is (controlled by/ independent of) Congress and the President. | independent |
| When the Fed eases the money supply to create economic growth and lower unemployment, it may cause prices to (increase/ decrease). | increase |
| To increase the money supply, the Fed should (raise/ lower) the discount rate. | lower |
| To increase the money supply, the Fed should (raise/lower) the federal funds rate. | lower |
| To fight unemployment, the Fed should (buy/sell) bonds. | buy |
| To lower inflation, the Fed should (buy/ sell) bonds. | sell |
| If GDP declines substantially, then the Fed should (increase/decrease) the money supply. | increase |
| If the CPI (Consumer Price Index) and the PPI (producer Price Index) have risen sharply, then the Fed should (increase/decrease) the money supply. | decrease |
| if we are experiencing a recession, then the Fed should (increase/decrease) the money supply. | increase |
| If the economy is in contraction and businesses won't take out loans because of high interest rates then the Fed should (increase/decrease) the money supply. | increase |
| If unemployment is high and prices are stable then the Fed should (increase/decrease) the money supply. | increase |
| If inflation is high and unemployment is low, then the Fed should (increase/decrease) the money supply. | decrease |
| What should the Fed do if neither unemployment or inflation is a problem? | do nothing |
| What should the Fed do if the price of one product tripled? | do nothing |
Created by:
teacherdavidfrost
Popular Economics sets