Discuss how the Federal Reserve can use direct lending to fight a financial crisis.

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December 24, 2020
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1.       List the three uses of money.

2.       Describe the history and structure of the Federal Reserve System.

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3.       Identify the major goals of monetary policy, and list the policy tools used by the Federal Reserve.

4.       Explain how changing the fed funds rate can affect the economy.

5.       Discuss how the Federal Reserve can use direct lending to fight a financial crisis.

6.       Compare and contrast monetary policy and fiscal policy.

7.       Money has three roles: a medium of exchange, a store of value, and a standard of value. Which role is money playing in each of the following? a) You go to the store and buy groceries. b) You put your money into a savings account. c) You write a check to make a purchase. d) You receive a paycheck from your employer. e) You have money taken out of your paycheck for your retirement account. f) You choose between two televisions, one costing $200 and the other costing $300.

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