Ch.+16.1

Ch. 16.1 Questions #1-6


 * 1) 7 members that are nominated by the President and confirmed by the senate.
 * 2) Monetary policy: the actions the Federal Reserve takes to influence the level of real GDP and the rate of inflation in the economy.
 * 3) 12 bank districts created by the federal reserve act
 * 4) The federal advisory council (FAC) collects information about each district and reports to the Board of governers about economic conditions within their districts
 * 5) The federal open market committee (FOMC) makes key decisions about interest rates and the growth of the US money supply.
 * 6) By establishing a common unit of change for buying or selling