Which of the following directs open market operations?
A) Board of Governors.
B) Federal Reserve Banks.
C) Federal Open Market Committee
D) Federal Advisory Council.
E) Member banks.

Question

Quizplus · Accepted Answer

The Federal Open Market Committee (FOMC) directs open market operations, which involve the buying and selling of government securities to control the money supply and influence interest rates. The FOMC is responsible for setting monetary policy in the United States and is made up of members of the Board of Governors and Reserve Bank Presidents.

Which of the Following Directs Open Market Operations