Which of the following observations is t?
A) State governments are the shareholders of the Fed.
B) The Fed chairman is appointed for a ten year term.
C) FOMC decisions largely determine short-term interest rates.
D) Member banks proportionately share all of Federal Reserve's profits.

Question

Quizplus · Accepted Answer

Choice C is a statement about FOMC (Federal Open Market Committee) decisions determining short-term interest rates, which is a fact about the Federal Reserve system. The other statements are either incorrect (A and D) or vague (B - the Fed chairman's term is actually four years, renewable).

Which of the Following Observations Is T