1. In 1913 Congress passed the Federal Reserve Act. Discuss the events leading up to its creation
2. What were some claims as to why the U.S. needed a central bank (state at least 3)?
3. Some people claim that the Fed is private, others that it is public (government run). Explain each argument:
4. The Fed has 3 main tools for influencing the money supply, what are they and how do they affect the money supply?
5. Some people claim the Fed is unconstitutional, what is their reasoning?
6. Explain how the Fed enables the very problem that led to its creation (be sure to describe the problem too):
7. Has the Fed been able to achieve its goals that were the reason for its creation? List at least 4 goals, and support your argument with examples:
8. Why is the Fed called the Lender of Last Resort? What are the pros and cons of having such a lender?
9. Crazy Mr. Gee thinks the Federal Reserve is largely to blame for the oversea wars since its inception. What’s his nutcase argument?
The students then worked on their Fed posters for the rest of the period.
