Economic Performance and the FED

Front

Why is currency preferable to bartering?

Back

The relative value of goods is difficult to establish in a barter system.

Front

Which is necessarily true about money?

Back

It is a store of value.

Front

Why do people hold more cash during a financial panic?

Back

They have less trust in financial institutions.

Front

Why might the Federal Reserve DECREASE the money supply?

Back

to reduce inflation, or even cause deflation

Front

Which of these is a function of the FED?
- advise the president
- supervise and regulate banks
- advertise for banks
- provide insurance for bank deposits, up to $250,000

Back

supervise and regulate banks

Front

Banks were closely regulated during this era.

Back

1933 - 1960

Front

Which of these led to a "crisis" in American banking? Options: the gold standard, regulation of interest rates, subprime mortgages, the creation of the FED

Back

subprime mortgages

Front

What is a disadvantage of using paper checks, or "cheques"?

Back

they take time to clear

Front

Who was the first woman to be the "chairman" of the FED and is now in charge of the Treasury?

Back

Janet Yellen

Front

There are ___ district banks under the Federal Reserve

Back

12