Which
of the following bank assets is the most liquid?

5. Fluctuations in the demand for reserves cause the Fed to lose control over a monetary aggregate if the Fed targets

4. Which of the following is an advantage of the Fedʹs ʺjust do itʺ approach to monetary policy?

3. Which of the following is NOT an element of inflation targeting?

2. If the relationship between the monetary aggregate and the goal variable is weak, then

1.Under monetary targeting, a central bank announces an annual growth rate target for __________.

10. When the Fed extends a $100 discount loan to the First National Bank, reserves in the banking system

9. The effect of an open market purchase on reserves differs depending on how the seller of the bonds keeps the proceeds. If the proceeds are kept in currency, the open market purchase _________reserves; if the proceeds are kept as deposits, the open market purchase _________reserves.

8. When a bank sells a government bond to the Federal Reserve, reserves in the banking system _______and the monetary base_______ , everything else held constant.

7.Purchases and sales of government securities by the Federal Reserve are called

6. The interest rate the Fed charges banks borrowing from the Fed is the