Suppose you transfer 1000 from your checking account to your savings account

Suppose you transfer 1000 from your checking account

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81.Suppose you transfer $1,000 from your checking account to your savings account. How does this action affect the M1 and M2 money supplies?a.M1 and M2 are both unchanged.b.M1 falls by $1,000, and M2 rises by $1,000.c.M1 is unchanged, and M2 rises by $1,000.d.M1 falls by $1,000, and M2 is unchanged.ANS:DPTS:1DIF:DTOP:M1 and M2TYP:CA82.Which of the following is responsible for controlling the money supply in the United States?83.The conduct of monetary policy is the responsibility of:84.What is the length of the term of the members of the Board of Governors of the Federal Reserve System?
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85.Decisions to buy or sell securities at the Fed are made by the:a.Congress.b.Federal Open Market Committee.c.Federal Deposit Insurance Corporation.d.President's Council of Economic Advisors.ANS:BPTS:1DIF:MTOP:Federal Reserve SystemTYP:RE86.The Federal Reserve System was founded in:87.Members of the Federal Reserve Board of Governors serve one nonrenewable term of:88.The number of presidentially appointed members who sit on the Federal Reserve Board of Governors is:89.Decisions regarding purchases and sales of government securities by the Fed are made by the:a.Federal Funds Committee.b.Discount Committee.c.Federal Open Market Committee.d.FDIC.ANS:CPTS:1DIF:ETOP:Federal Reserve SystemTYP:RE90.Which of the following types of financial institutions is requiredto belong to the Federal Reserve System?91.With respect to controlling the money supply, the law requires the Fed to take orders from:
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