The _______ implements the FOMC policy directive by using _____________.
A)Board of Governors, discount window operations
B)Board of Governors, reserve requirements
C)New York Fed, open market operations
D)The U.S. Treasury, discount window

Question

Quizplus · Accepted Answer

The New York Federal Reserve implements the FOMC policy directive by using open market operations, which involve buying or selling U.S. government securities in the open market to influence the federal funds rate and other interest rates in the economy. The Board of Governors sets reserve requirements and oversees the discount window, but these tools are not used to implement FOMC policy directives directly. The U.S. Treasury does not implement monetary policy.

The _______ Implements the FOMC Policy Directive by Using _____________

The _ Implements the FOMC Policy Directive by Using _______