The Fed is unlike other central banks in that it
A)has 12 branches.
B)is completely centralized.
C)has no real powers.
D)also has control over fiscal policy.

Question

Quizplus · Accepted Answer

The Fed is unlike other central banks in that it has 12 branches located throughout the United States, whereas most central banks are completely centralized. Choice B is incorrect because the Fed is not completely centralized like other central banks. Choice C is incorrect because the Fed has significant powers to influence monetary policy, including setting interest rates and regulating the money supply. Choice D is incorrect because the Fed does not have direct control over fiscal policy, which is the realm of Congress and the executive branch.

The Fed Is Unlike Other Central Banks in That It