1. The Fed- Briefly describe the origin of the Federal Reserve System. Describe the functions of the Fed district banks.
2. FOMC- What are the main goals of the Federal Open Market Committee (FOMC)? How does it attempt to achieve these goals?
3. Open Market Operations- Explain how the Fed increases the money supply through open market operations.
4. Reserve Requirement- How is money supply growth affected by an increase in the reserve requirement ratio?
5. Control of Money Supply- Describe the characteristics that a measure of money should have if it is to be manipulated by the Fed.
6. Open Market Operations- Explain how the Fed can use open market operations to reduce the money supply.
7. Discount Window Lending during Credit Crisis- Explain how and why the Fed extended its discount window lending to nonbank financial institutions during the credit crisis.
8. Bailouts by the Fed- Do you think that the Fed should have bailed out large financial institutions during the credit crisis?
9. Fed Facility Programs during the Credit Crisis- Explain how the Fed's facility programs improve liquidity in some debt markets.