Which of the following is not true?
A)The Federal Reserve is a quasi-independent government agency that serves as our nation's central bank.
B)The Fed's influence begins with the depository institutions and their role in the money supply process and then spreads to other intermediaries and financial markets in general.
C)The Fed implements fiscal policy which is all the attempts by the Fed to affect the level of economic activity.
D)The Fed affects the total volume of funds available for lending in the economy.

Question

Quizplus · Accepted Answer

The Fed does not implement fiscal policy, which is the responsibility of Congress and the Executive Branch. The Fed is responsible for monetary policy, which involves controlling the money supply and interest rates in order to stabilize the economy.

Which of the Following Is Not True