Question

1. The Debt is

Group of answer choices

The excess of taxes in a given year

The required reserve

The excess of spending in a given year

The sum of all the deficits minus the sum of all the surpluses

2. The two entities that are responsible for the creation of money are

Group of answer choices

The Fed and the US treasury

The Fed and Congress

Congress and the President

The Fed and Banks

3. Which of the following is not a function of the Fed

Group of answer choices

Monetary Policy

4. The function of money that allows goods and services to be traded without the need for a barter system is known as

Group of answer choices

Store of Value

Medium of exchange

Coincidence of wants

Measure of Value

Provide an effective and efficient payments system

Regulate banking operations.

Collect taxes

Answer 1

1. The excess of spending in a given year

Deficit ocas when the revenues of the government fall short of its total expenditure in a year.

2.The Fed and the US treasury

The federal Bank increases money supply by buying bonds or or by expanding in government projects etc. The US treasury is responsible for printing of currency.

3. Provide an effective and efficient payment system

The federal Bank is not concerned with the effective or efficient payment systems that prevail in the banking system.

4. Medium of exchange

The currency is a medium of exchange which is used in replacement of a barter system.

(Please consider giving an upvote if you find it useful)