solution 1 - Econ 716-21 Macroeconomics for Finance Lau...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
1 Econ 716-21 Macroeconomics for Finance Lau Problem Set I Fall 2010 Instructions: 1. Answer all questions. 2. Please form study group of up to 3 persons and work on the problem set. 3. Show your formulas and steps clearly. 4. Due date: 10/25/2010 (M) @8am [To answer the questions in part I and II, check the Federal Reserve website.] Part I: Multiple choice questions (Circle the correct answer) (3 questions; 2 points each) 1. To increase the money supply, the Federal Reserve A. buy government bonds B. sell government bonds C. buy corporate bonds D. sell corporate bonds 2. Open-market operations are A. Federal Reserve purchases and sales of US government bonds B. Federal Reserve issues currency C. Treasury Department issues currency D. Treasury Department purchases and sales of US government bonds 3. FOMC ________ change the Fed Fund Target rate between the scheduled FOMC meetings. A. cannot B. can C. never D. always Part II: Fill in the blanks (8 questions; 2 points each) 1. There are __7_ _ members on the Board of Governor of the Federal reserve Bank. 2. There are __12_ _ Federal Reserve Districts.
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern