7. If the FOMC buys securities on the market, then: a. the monetary base increases d. the money supply falls b. the monetary base falls e. none of the above c. government spending rises

d. the money supply falls

8. If banks hold more excess reserves then: a. the monetary base rises b. the money supply rises c. the expansion of deposits is less

d. all of the above

e. none of the above

9. The Chair of the FED, Jerome Powell right now,: a. is a member of the Board of Governors b. has a four year term as Chair c. is a member of the Federal Open Market Committee (FOMC)

d. all of the above

e. none of the above

10. The discount rate is the rate the FED: a. pays the public for deposits b. charges commercial banks for loans c. sets for government bond sales

d. all of the above

e. none of the above