Author Question: The major objective of the Federal Reserve System is to: a. make substantial profits for its member ... (Read 45 times)

dmcintosh · **on:** Jun 30, 2018

The major objective of the Federal Reserve System is to:
a. make substantial profits for its member banks.
b. help in generating stabilization policies for the economy.
c. distribute paper money and coins to banks and retail stores.
d. prevent closure (failure) of individual member banks.

Question 2

A recessionary real shock will:
a. shift the aggregate demand curve to the left and reduce real GDP.
b. shift the aggregate demand curve to the right and increase real GDP.
c. shift the aggregate supply curve to the left and increase real GDP.
d. shift the aggregate supply curve to the left and reduce real GDP.
e. shift the aggregate supply curve to the right and increase real GDP.