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I. Answer the questions using the information from the text.

  1. What is the central bank of the United States?

  2. When was the Fed founded?

  3. What general areas do the Federal Reserve's duties fall into?

  4. How is the Federal Reserve System structured?

  5. What are the responsibilities of the Board of Governors?

  6. Why do you think the governors serve one nonrenewable 14-year term?

  7. Whom does the FOMC consist of?

  8. What is FOMC charged under law?

  9. What services are provided by Reserve Banks to depository institutions and the government?

10. Are many commercial banks in the US members of the Federal Reserve System?

II. Draw up a plan of the text.

Vocabulary Exercises

I. Find the English equivalents for the following words and word-combinations in the text and make up 10 sentences of your own with them:

  1. гнучкий

  2. зростати, розширюватись

  3. виконавча гілка влади

  4. з метою

  5. забезпечувати стабільність і прозорість

  6. Федеральний комітет з операцій на відкритому ринку

  7. доручати

  8. здійснювати нагляд

  9. виконувати, здійснювати

  10. працювати на постійній основі

  11. працювати на основі ротації

  12. відповідно до законодавства

  1. операції на відкритому ринку

  2. впливати

  3. загальні умови

  4. здійснювати оперативний зв'язок

  5. погашати/викупати державні цінні папери

  6. фінансовий агент

  7. бути знайомим з

  8. задовольняти певним вимогам

  9. акція

  10. відповідний

  11. Федеральна консультативна рада

  12. Консультативна рада з питань стану споживачів

  13. Консультативна рада з питань діяльності ощадних установ

/7. Match the words with their synonyms: 1. flexible a. be in charge of

  1. oversee b. carry out

  2. expand c. adaptable

  3. implement d. influence

5. affect

e. relevant

6. applicable

7. familiar with sth

f. knowing sth very well

g. choose

8. elect

h. increase

III. Change the noun form into the verb and adjective forms. You may need to use a dictionary:

insurance, consumer, appointment, provision, regulation, expansion, requirement, performance, responsibility, consolidation, competition, operation.

IV. Complete the sentences below using the verbs in the right tense-form: to

issue, to appoint, to maintain, to implement, to ensure, to serve, to delegate, to

confirm.

  1. The Federal Reserve has responsibility for supervising and regulating the following segments of the banking industry ... safe and sound banking practices and compliance with banking laws.

  2. The Department of the Treasury ... primary responsibility for issuing and enforcing regulations to implement this statute.

  3. A central bank ... as the banker to both the banking community and the government; it also ... the national currency, conducts monetary policy, and plays a major role in the supervision and regulation of banks and bank holding companies.

  4. The seven members of the Board of Governors ... by the President and ... by the Senate.

  1. Some of supervisory responsibilities ... to the Reserve Banks by the Board of Governors.

  2. A central bank ... monetary policy - either the government's, as in the United Kingdom, or their own, if the are independent, as in the USA or Germany.

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