QUESTION 13 1. What is the central bank?

A bank that regulates the money supply

A bank that regulates the interest rate.

A bank that regulates other financial institutions.

All of the above

QUESTION 16 1. "Under typical conditions , the fed applies monetary policy by adjusting______________."

Open market operations

Discount rates

Federal fund rate

Require reserve ratios

QUESTION 15 1. What is a flexible exchange rate policy?

A policy in which an exchange rate are determined in foreign exchange markets and governments do agree to fix them.

A policy in which an exchange rate are determined in foreign exchange markets and governments do not agree to fix them.

A policy in which an exchange rate are determined in financial markets and governments do not agree to fix them.

A policy in which an exchange rate are determined in markets for goods and services and governments do not agree to fix them.

QUESTION 8 1. Between which episode is the federal funds interest rate the highest?

episode 2-episode 3

episode 7-episode 8

episode 1- episode 2