The course that I took this term on money and banking was of great value to me. It taught me some very important things. One of the most important things that I learned in this course was that the Federal Reserve is the best resource for information concerning the economy. Another important thing that I learned was that interest rates mean different things to different people. A third very important thing that I learned was how a financial crisis can start in the United States.
There is an abundance of information about our economy on the television newscasts, in the newspapers, and on the Internet. A lot this news is very confusing, particularly when one article contains information that conflicts with another article. This sometimes
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This 12-member committee, which is headed by the chairman of the Federal Reserve Board, sets credit and interest rate policies for the Federal Reserve System. There are 8 scheduled meetings of the FOMC throughout the year. There are sometimes unscheduled meetings also held during the course of the year. I have found that reading the press releases of the FOMC can give me a pretty decent understanding of what is going on in the economy. For example, the press release that followed the latest scheduled meeting of the FOMC on April 28, 2010 revealed that our economy is starting to show improvements in the labor markets. It predicted that the economy is likely to continue with a gradual recovery.
It is far better to go to the source, the Federal Reserve, to find out the facts about our economy than to rely on the newscasts. The newscasters are not the experts when it comes to matters of the economy, banking, or finance. I would much rather rely on the Federal Reserve System to tell me that household spending has picked up, business spending on software and equipment has gone up, and that the federal funds rate may continue at lower levels for some time. These are strong, solid facts that are available to all. This is only a small part of the enormous amount of information that the Federal Reserve makes available to the public. I’m very fortunate that I have learned