Joseph McCarthy gained public attention by claiming to have a list of communists in the government.
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The Federal Reserve (the Fed) is the central banking system of the United States. One of it functions is to manage the nation's money supply through monetary policy in order to maintain the stability of the financial system and the economy.
The Fed had the power<em> to increase the money supply</em>. If the Fed believes that the economy is operating well below its potential level of output, the money supply is <em>increased in order to stimulate the output and employment</em>. Output is the quantity of services and goods produced.
To increase the money supply means that people will have <em>more or excess</em> <em>money</em> to spend. Consumption will <em>increase</em>, people will demand more goods and services. Some may want to deposit the excess money in banks making the bank's excess reserves richer ( banks will own more money). If the banks own more money, they are willing to lend more. Banks will<em> lower</em> <em>interests rates</em> to motivate borrowing.
As the result of increased consumption and investment ( more money available, lower interests rates ) the country's<em> GDP will increase</em>. GDP is the market value of all the goods and services produced in the USA during a specific time.
Answer: A. It banned colonial assembly.
Explanation:
The British government viewed the Colony of Massachusetts as a threat due to its continued defiance of British mandates and its seemingly leading role in the rebellion of the other colonies to British directives as well.
The last straw to the British was the Boston Tea Part after which Parliament passed the Massachusetts Government Act of 1774 which placed Massachusetts directly under the control of a Royal governor who had absolute powers and suspended the Colonial assembly in order to remove any illusion of self-governance the people had.
