Question
Which statement accurately explains the functions of the Federal Reserve district banks and those for the Board of Governors?(1 point)
Responses
The Federal Reserve district banks direct monetary policy and overlook the banking industry while the Board of Directors implements the policies from the district banks.
The Federal Reserve district banks direct monetary policy and overlook the banking industry while the Board of Directors implements the policies from the district banks.
The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.
The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.
The Board of Governors sets the target federal funds rate and overlooks the banking industry while the Federal Reserve district banks implement the policies from the Board of Governors
The Board of Governors sets the target federal funds rate and overlooks the banking industry while the Federal Reserve district banks implement the policies from the Board of Governors
The Federal Reserve district banks set the target federal funds rate and oversee open market operations while the Board of Governors directs monetary policy and sets reserve requirements on banks.
Responses
The Federal Reserve district banks direct monetary policy and overlook the banking industry while the Board of Directors implements the policies from the district banks.
The Federal Reserve district banks direct monetary policy and overlook the banking industry while the Board of Directors implements the policies from the district banks.
The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.
The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.
The Board of Governors sets the target federal funds rate and overlooks the banking industry while the Federal Reserve district banks implement the policies from the Board of Governors
The Board of Governors sets the target federal funds rate and overlooks the banking industry while the Federal Reserve district banks implement the policies from the Board of Governors
The Federal Reserve district banks set the target federal funds rate and oversee open market operations while the Board of Governors directs monetary policy and sets reserve requirements on banks.
Answers
GPT-4o mini
The most accurate statement explaining the functions of the Federal Reserve district banks and those for the Board of Governors is:
**The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.**
This statement correctly identifies the role of the Board of Governors in setting key monetary policy tools, while also noting that the district banks implement those policies and oversee the banking industry.
**The Board of Governors sets the discount rate and reserve requirements on banks while the Federal Reserve district banks overlook the banking industry and implement the policies from the Board of Governors.**
This statement correctly identifies the role of the Board of Governors in setting key monetary policy tools, while also noting that the district banks implement those policies and oversee the banking industry.