Econ U5 - Money and Banking

Which bank is called lender of last resort?

• Commercial bank

• Agricultural bank

• Federal Reserve

Which of these is the most liquid asset? 

• Checks
• Property
• Cash
• Credit

What is happening here?

• Bartering
• Cooking
• Flirting
• Machismo

Which is not a use of money?

• Medium of exchange
• a store of value
• unit of account
• to start a fire

This type of card allows you to withdraw money directly out of your checking account to pay for things...

• Credit Card

• Debit Card

• Gift Card

• E-Card

The loan a bank gives you to purchase a house is called a...

• Mortgage

• Default Loan

• Equity Loan

• Building Loan

The Federal Reserve controls monetary policy in the United States, trying to control

• inflation, or money losing its purchasing power

• deflation, or money becoming more valuable

• money supply, the amount of money available in the economy

• the number of banking institutions in the nation

How do financial institutions make most of their money?

• Fees
• Interest
• Mutual Funds
• Loan Payments

The tools and strategies the Federal Reserve uses to stabilize the economy is called?

• Fiscal Policy
• Monetary Policy
• Tight Money
• Easy Money

How many federal reserve districts are there?

• 5
• 10
• 12
• 21