One of the ways in which the federal reserve system directly exercises control over the monetary system of the united states is quizlt

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Social Studies

Elle Cook

4 November, 13:40

One of the ways in which the federal reserve system directly exercises control over the monetary system of the united states is quizlt

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Haylie Rowe · Answer 1

In order to control the monetary system, the Federal Reserve has the power to make changes in reserve ratios banks hold against deposits, the interest rate charged to commercial banks seeking additional reserves, and buying and selling government securities, mainly from large banks and major securities dealers.