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Banking and Financial Institutions

Question 4 • TX-Personal Financial Literacy and Economics

The Federal Reserve is a system of .

Answer
A
government departments
B
international banks
C
special banks

Explanation

The Federal Reserve System includes 12 regional Federal Reserve Banks, along with its governing Board and other parts. These banks have a special public role in managing the nation's money and banking system; they are not ordinary government departments or international banks. Therefore, the best choice is “special banks.”

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