Unit 2 Quizizz

Implementing monetary policy is the main goal of which of the following

• Department of Treasury

• The Federal Reserve System

• The Federal Trade Commission

• Congress

True or False: The business cycle is characterized by a fluctuation in economic growth and decline over a period of time

• TRUE

• FALSE

Which is considered the default phase of the business cycle

• Expansion

• Peak

• Contraction

• Trough

True or False: There is a strong correlation between a nation's overall standard of living and their citizen's HDI

• TRUE

• FALSE

Why is it important to look at more than one economic indicator when evaluating the health of an economy?

• GDP is not useful

• You should only look at one indicator

• Most data is inaccurate

• It gives you a better understanding of the health of the economy

How does a higher Federal Funds Rate influence banks/businesses/consumers?

• Higher FFR means less expensive borrowing costs for banks and their customers

• Higher FFR does not impact banks/businesses/consumers

• Higher FFR means more expensive borrowing costs for banks and their customers

• Higher FFR is used to punish unethical banks

The value of all finished goods and services produced within a country's borders is referred to as

• GNP

• GDP

• GDP per capita

• HDI

True or False: GENERALLY, economists signal a recession after 2 consecutive quarters of a contraction in economic growth as measured by GDP

• TRUE

• FALSE

What was Alexander Hamilton's reasoning behind implementing a central banking system in the US?

• the need for national credit and economic stability

• to increase states' rights

• to increase states' revenue after the Revolutionary War

• to benefit the agricultural sector

The Fed uses this tool to steer the Federal Funds rate in to the target range

• Board of Governors

• Open Market Operations

• Discount Rate

• Interest on Reserve Balances Rate