11. To have a rising standard of living, a nation's stock of capital must a equal the amount of consumption in the country b. grow faster than the population d. grow slower than the population e. decline to enable the production of essential consumption goods cbe associated with a low rate of investment and high rate of consumption 12. The institution charged with creating and regulating the U.S. money supply is the a. U.S. Treasury b. Federal Reserve System c. Department of Commerce d. Department of Weights and Measures e U.S. Mint 13. If the government passed a law designating sea shells as money, sea shells a would not be legal tender b. would not function as money because they would be unable to serve as a unit of account c. would not function as money because they would be unable to serve as a means of payment d. would not function as money because they would be unable to serve as a store of wealth would function as money as long as they were accepted in exchange for goods and services e. 14. Credit cards are considered to be money because they facilitate exchange. a. True b. False 15. Which of the following is counted as money? a. Bonds b. Credit card payments c. Credit card limits d. Currency e. Corporate stock 16. Which of the following is the most liquid asset? a. A classic art painting. b. A commercial building. c. A savings bond d. A checking account balance e. Gold 17. The Fed's open market operations involve a. buying and selling of government bonds b. changes of the discount rate c. setting the required reserve ratio d. buying and selling corporate bonds c. a policy of last resort used to avert a financial crisis