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What Is the Reason for Having the Federal Reserve Administer

Question 106

Multiple Choice

What is the reason for having the Federal Reserve administer U.S.monetary policy?


A) The Federal Reserve is part of the government and carries out monetary policy dictated by the president.
B) The Federal Reserve is designed to reduce the incentive for politically motivated and unpredictable monetary policy.
C) The Federal Reserve bases the monetary policy on a poll from top business leaders,which ensures that economic growth is prioritized.
D) The Federal Reserve is part of the government and carries out the monetary policy dictated by Congress.
E) The Federal Reserve is an NGO that bases monetary policy on international trade levels and input from global leaders.

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