Which of the following is TRUE of the structure of the Fed? I. All seven members of the Board of Governors are appointed by the President. II. The Fed is an agency of the federal government. III. The Secretary of the Treasury chairs the Federal Open Market Committee.
A) I only
B) I and II only
C) II and III only
D) I, II, and III

Question

Quizplus · Accepted Answer

Only statement I and II are true. The seven members of the Board of Governors are indeed appointed by the President, and the Fed is created by Congress as an independent agency, not a federal government agency. However, statement III is false as the Chair of the Federal Reserve Board is the head of the Federal Open Market Committee, not the Secretary of the Treasury.

Which of the Following Is TRUE of the Structure of the Fed