How Independent is the Fed?
1) Instrument independence is the ability of ________ to set monetary policy ________.
A) the central bank; goals
B) Congress; goals
C) Congress; instruments
D) the central bank; instruments
2) The ability of a central bank to set monetary policy instruments is
A) political independence.
B) goal independence.
C) policy independence.
D) instrument independence.
3) Goal independence is the ability of ________ to set monetary policy ________.
A) the central bank; goals
B) Congress; goals
C) Congress; instruments
D) the central bank; instruments
4) The ability of a central bank to set monetary policy goals is
A) political independence.
B) goal independence.
C) policy independence.
D) instrument independence.