Today the responsibilities of the Fed may be described as
A) those relating to monetary policy, to supervision and regulation, and to services provided for depository institutions and the government.
B) those relating to fiscal policy, to supervision and regulation, and to services provided for depository institutions and the government.
C) those relating to monetary policy, to deregulation, and to services provided for depository institutions and the government.
D) those relating to monetary policy, to supervision and regulation, and to services provided for homeowners and the government.

Question

Quizplus · Accepted Answer

The Federal Reserve's responsibilities today include three main areas: (1) monetary policy, (2) supervision and regulation of depository institutions, and (3) services provided to depository institutions and the government. These responsibilities are outlined in the Federal Reserve Act. Therefore, option A is the best choice as it accurately describes the Fed's current responsibilities. Option B is incorrect as the Fed is not responsible for fiscal policy. Option C is incorrect as deregulation is not a significant responsibility of the Fed. Option D is incorrect as the Fed provides services to depository institutions and the government, not homeowners specifically.

Today the Responsibilities of the Fed May Be Described as