https://youtu.be/L0hQfaxYU8k

answer choices:

a. government

b. good shape

c. federal funds

d. federal reserve act

e. vote

f. seven

g. government securities

h. enforcements

i. economist

j. bankers

k. reserve

l. electronic payment

m. national region

n. financial, monetary, supervising

o. fomc

p. regulations

q. low and stable

r. twelve

s. discount window

questions:

1. The Federal Reserve is made up of three parts: the Board of Governors, the _________banks and the Federal Open Market Committee.

2. Congress wrote the ___________________________________ in 1913.

3. The Fed combines centralized ___________ authority with a healthy dose of __________ independence.

4. The Board of Governors has ___________ members, called governors.

5. Governors write the ______________ that make commercial banks financially sound and that make the nation economically strong.

6. The governors' most important responsibility is participating in the Federal Open Market Committee, or ___________.

7. The FOMC is the Fed's chief body for monetary ________________.

8. Each FOMC meeting ends with a ________ on actions that will affect the country's money supply.

9. There are _______ districts in the Federal Reserve, each of which is served by a regional Reserve bank.

10. Reserve banks have three main responsibilities: 1) providing _____________ services, contributing to _____________ policy and ________________ commercial banks in their regions

11. A Reserve bank is often called the "____________ bank."

12. Banks deposit billions of dollars at the Fed in cash, check, wire transfers or some other form of _______________ __________________.

13. Besides serving commercial banks, the Fed maintains accounts for the _____________,

processes government checks and assists the Treasury in issuing and redeeming securities.

14. ____________________ at Reserve banks are all experts on different aspects of our national economy.

15. Most economists agree that the economy performs well when inflation is _______________.

16. In addition to publishing and public speaking, economists prepare their Reserve bank presidents for FOMC meetings, where members together set a target interest rate, called the________ ___________ rate.

17. To hit the fed funds rate target, the FOMC issues a directive to the New York Fed's domestic trading desk, which will then buy or sell ________________ _______________ on the "open market," which ultimately affects how much money banks have available to lend.

18. Banking supervision refers to the ___________________ of the written rules that define what is acceptable behavior for financial institutions and is carried out by staff at the 12 Reserve banks.

19. At the end of an on-site review, Fed examiners issue the bank a rating that reflects whether the institution is in _______________ or whether it has weaknesses that require corrective action and close monitoring.

20. One way the Fed ensures safety and soundness of the banking system is by making short-term loans to banks through its ____________ _______________.