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Managing the Economy Bookwork – pages 566-570                                period         

 

Read pages 566-570 in your textbook and answer the questions below.

 

1.       What are the four main spending items in the federal budget?

 

 

2.       What is fiscal policy?

 

 

3.       What is monetary policy?

 

 

4.       Under the category of Fiscal Policy, what are two things the government can do to stimulate the economy?

 

 

5.       What is the gross national product?

 

 

6.       What is the Federal Reserve System?

 

 

7.       How many Federal Reserve Districts are there in the US?

 

 

8.       What is the Board of Governors?  How are they and the chairperson selected? 

 

 

9.       After being appointed, what is the relationship between the Board of Governors and the President?

 

 

10.     What are the two major responsibilities in forming monetary policy?

 

 

11.      What is the discount rate?

 

 

12.     What is the reserve requirement?

 

 

 

13.     What are open-market operations?

 

 

14.     What are the methods the federal government can use to stimulate a slow economy? 

                   Fiscal Policy (two things):

a.       

b.      

Monetary Policy (three things): 

c.       

d.       

e.       

 

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