Chapter 3 The Federal Reserve System

The right of a consumer to change his or her mind about a loan

The main goal of the Federal Reserve is to enforce this policy:

By law, every bank in the United States must be part of the Federal Reserve System.

The term reserve ________refers to ways of readily converting bank reserves into cash.

If the government restricts the flow of cash into the economy too severely,

 “Priming the pump,” or cutting taxes to add jobs and stimulate business when economy is down

Protects consumers from unfair collection techniques

The current Chair of the Federal Reserve Board is____________________.

Prohibits the use of race, color, religion, national origin, marital status, or age for credit

One of the main functions of the Federal Reserve is to serve as a bank for other banks.

Which of the following is NOT a function of the Federal Reserve?

Protects information that credit bureaus, medical information companies can collect

Economists agree that the Fed government can regulate the economy by raising or lowering taxes.

Which is not part of the on-going organizational structure of the Federal Reserve?

     1.   An increase in money supply and incomes often causes prices to go up as well.

All costs of a loan needs to be provided in writing to consumers.

How many District Banks are in the Federal Reserve?

The Truth in Lending Act prohibits bill collectors from using deceptive or abusive tactics.

Which of the following attempts to protect the information that credit bureaus may collect?

The rate of interest the Federal Reserve charges banks for short-term loans is called the