- Assignment: Federal Reserve, Banking, and Inflation
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· Resources: Ch. 29 & 30 of Principles of Economics, “Fed Official Expects Growth,” and “Are Inflation Expectations Rising from the Ashes?”
· Read the articles “Fed Official Expects Growth” at http://pittsburghlive.com/x/tribune-review/business/s_385893.html,and “Are Inflation Expectations Rising from the Ashes?” at http://research.stlouisfed.org/publications/mt/20051101/cover.pdf.
· Create a Microsoft© PowerPoint® presentation with 10 to 12 slides addressing the following questions:
o Why was the Federal Reserve created? What are its essential functions?
o Who are the decision makers of the Federal Reserve? How do these people obtain these positions?
o How does the Federal Reserve control the monetary system? Specifically, what tools does the Fed have to use?
o How do banks increase the money supply?
o How is inflation measured?
o What are the causes of inflation?
o Are natural disasters causes of inflation or deflation? Where might the public see the evidence?
o What are the costs of inflation?
o Why is inflation so widely feared?
· Include detailed speaker’s notes.
· Format your Presentation using APA guidelines.
· Post your presentation as a Microsoft® PowerPoint® attachment.
