2
QuizMultiple Choice

The Federal Reserve

Question 2 • FL-2106010-M/J Civics B

The institution responsible for managing a nation’s money supply is the __________.

Answer
A
central bank
B
trade commission
C
national security
D
government regulator

Explanation

A central bank manages a nation’s money supply, often by setting monetary policy and influencing interest rates. A trade commission oversees trade-related rules, while national security and government regulation are broader functions. Therefore, the correct choice is central bank.

AI-written and checked against the verified answer.

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