WorksheetsThe Federal Reserve
Total questions: 15
Worksheet time: 30mins
Name
Class
Date
1.
"The Fed" refers to the....
a)
Federal Bureau of Investigation
b)
Federal Government
c)
Federal Reserve System
d)
Federal Income Tax
2.
The Federal Reserve System was established in
a)
1799
b)
1913
c)
1863
d)
1881
3.
The Federal Reserve
a)
is made up of 12 district banks and 25 branch banks.
b)
is managed by a 12-member board of directors.
c)
is made up of district banks that operate independently from one another.
4.
Fee charged to borrow money
a)
Inflation
b)
Interest
c)
Discount rate
d)
Reserve requirement
5.
Which part of the Fed decides when to raise or lower interest rates?
a)
Board of Governors
b)
Advisory Committee
c)
Chairman
d)
Federal Open Market Committee
6.
Influencing the economy by changing the reserve requirement is called:
a)
Fiscal policy
b)
Monetary policy
c)
Tight Money
d)
Easy Money
7.
What does Inflation do to the value of money?
a)
Makes it go up.
b)
Makes it go down.
c)
Makes it stay the same.
8.
Does increasing the money supply cause inflation or deflation?
a)
Inflation
b)
Deflation
9.
The primary role of the Federal Reserve Bank is to steer the economy by
a)
controlling the budget
b)
setting spending levels.
c)
controlling the money supply.
d)
loaning out money.
10.
In a recession, the Fed would likely
a)
Increase the supply of money in the economy
b)
Decrease the supply of the money in the economy
11.
What is the gold standard?
a)
one unit of currency is equal to a set amount of gold
b)
the level by which gold is judged
c)
the use of gold as a medium of exchange
d)
the idea that gold can buy everything
12.
The American Dollar bill is an example of
a)
Commodity Currency
b)
Representative Currency
c)
Fiat Currency
d)
Public Currency
13.
The Federal Reserve can increase __________, which makes banks more selective when loaning out money
a)
Reserve Requirements
b)
Percentage/Earnings Ratios
c)
Dividends
d)
Blue Chip Stocks
14.
If the economy is expanding too quickly, the Federal Reserve will institute which type of monetary policy?
a)
Expansionary
b)
Contractionary
c)
Equanimitous
d)
Whole Dollar
15.
The current chairperson of the Federal Reserve is:
a)
Jerome Powell
b)
Alan Greenspan
c)
Ben Bernanke
d)
Janet Yellen
100 %
