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7 votes
Which of the following is NOT a goal of the Federal Reserve System?

A.
to control inflation
B.
to control unemployment
C.
to maintain the balance of trade
D.
to maintain a healthy economy

User Charlie Ang
by
2.7k points

2 Answers

26 votes
26 votes

Final answer:

The Federal Reserve System does not include maintaining the balance of trade as one of its primary goals. It focuses on stable prices, full employment, and moderate long-term interest rates. The correct option is (C).

Step-by-step explanation:

The goal of the Federal Reserve System that is NOT listed among its primary objectives is C. to maintain the balance of trade. While the Federal Reserve focuses on fostering a stable economy by managing monetary policy, its main goals include ensuring stable prices, achieving full employment, and maintaining moderate long-term interest rates.

The responsibility for the balance of trade primarily lies with fiscal policy and trade agreements, not with the central bank's monetary policy tools. The Fed does influence the economy by managing the money supply and interest rates, which can indirectly affect the trade balance, but maintaining a trade balance is not one of its direct goals.

User David Valentine
by
3.2k points
24 votes
24 votes

D

Step-by-step explanation:

there job is to regulate the supply of money

User Chris Herring
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3.1k points