Federal Reserve

Written By Jonathan Milner

Definition

The U.S. central banking system—the Federal Reserve, or the Fed—is the most powerful economic institution in the United States, perhaps the world. Its core responsibilities include setting interest rates, managing the money supply, and regulating financial markets. Monetary policy is a set of actions available to a nation's central bank (federal reserve) to achieve sustainable economic growth by adjusting the money supply. Monetary policy in the United States comprises the Federal Reserve's actions and communications to promote maximum employment, stable prices, and moderate long-term interest rates--the economic goals the Congress has instructed the Federal Reserve to pursue.

Example

 
 

Questions

  1. What is the federal reserve?

  2. Who is the chair of the federal reserve?

  3. What is the relationship between the federal reserve and monetary policy?

  4. How often does the Fed meet and how do they control interest rates?

  5. What is monetary policy and how does monetary policy effect you?

  6. What emoji would do a good job of expressing the concept of the Federal Reserve Board?

  7. How many members are on the Federal Reserve?

  8. Who selects the Federal Reserve Board?

  9. How independent is the Fed?

  10. What can the President do if they don’t like the interest rates set by the Fed?

Remember!

Now, let’s commit this term to our long-term memory. On a scrap piece of paper, take 10 or 20 seconds to draw Federal Reserve! Draw with symbols or stick figures if you wish. Nothing fancy. Don’t expect a masterpiece. No one else will see this but you. Look at your drawing. That’s all - now it’s downloaded into your memory. Destroy the piece of paper in a most delightful way.

Further Review

Foundational Documents Pack with Completed Rubrics Updated for 2024
$30.00

The resource includes a comprehensive range of materials such as lessons, backgrounders, activities, graphic organizers, and completed rubrics tailored specifically for each of the nine required foundational documents. This collection has been updated for the year 2024, featuring new graphic organizers to enhance the learning experience and support educators in their teaching efforts.

Add To Cart

GoPo Glossary

Jonathan Milner

Civics Maven!

https://www.gopopro.com/
Previous

Libertarianism
Next

Sampling Error