History
When was the Federal Reserve created?
1913
Which event is considered the worst failure of the Feds?
The Great Depression
Central Bank
The Discount Rate
The act in which the Fed was created...
The Federal Reserve Act.
Which recent event caused the Feds to drop rates to 0% overnight?
Covid-19 Pandemic
What is the Fed's main liability?
Currency
When the Feds lower the Federal Funds Rate, it _____ the economy and makes borrowing more ______.
stimulates and cheaper
The Federal Reserve original purpose...
To prevent bank runs.
The Federal Reserve accidently did what during the Great Depression?
Restricted money to banks
If a seat becomes vacant on the Fed's board of Governors, who is responsible for filling the vacancy?
The President
What tool does the Federal Reserve use to adjust the money supply?
Open Market Conditions
Who was the first governor of the Federal Reserve?
Charles Sumner
The Federal Reserve gave what to bail out major banks?
Emergency loans
How many regional districts are in the Federal Reserve?
12
When the Feds raise the Federal Funds Rate, it cools _______ and makes _______ more expensive.
inflation and borrowing
What financial panic lead to the creation of the Federal Reserve?
Panic of 1907
During the Great Recession, the Federal Reserve slashed and tested what to restart the economy? _____ and ______
interest rates and new policy tools
What percent does the Federal Reserve target on long-run inflation rate?
2%
The Federal Funds Rate sets the target _____ ______ ____ for _______ bank lending.
benchmark interest rate and overnight