QUESTION 39

The nominal anchor _____.

		prevents bank panics
		helps promote price stability
		means banks that should fail stay in business
		are used more frequently to raise capital
		None of the above

1 points

QUESTION 40

The Federal Reserve System was set up with 12 regional Federal Reserve banks because ___.

		13 banks would be an unlucky number
		it was the best number the committee could agree upon
		of the than traditional American hostility to a central bank and centralized authority
		All of the above

1 points

QUESTION 41

A prevalant feature of debt contracts for both households and businesses is ___.

		dividend payments
		collateral
		the going concern concept