The Federal Reserve Meeting - 920 Words

During the Federal Reserve meeting in April 2016, the range was left unchanged for federal funds at 0.25 percent to 0.5 percent (TRADING ECONOMICS, 2016). Labor markets experience growth confirmed by policy makers, yet economic activity was monitored as being slow (TRADING ECONOMICS, 2016). The risks associated with the financial developments of the country have ceased (TRADING ECONOMICS, 2016). The average percentage of interest rate in the U.S. averaged at 5.8. March of 1980 a record high was recorded at 20% (TRADING ECONOMICS, 2016). The lowest interest rates were recorded in the month of December 2008 at 0.25% (TRADING ECONOMICS, 2016). The United States has some of the largest financial markets worldwide (Commerce.gov, n.d.). These financial services, aid, in the financing of manufactured goods and agricultural products which are exported (Commerce.gov, n.d.). There are several advantages for investment in the financial services of the United States (Commerce.gov, n.d.). One of the United States most effective tools is The Earned Income Tax Credit which encourages work and improvement of family poverty (Center for American Progress, 2016). In the year of 2014 Earned Income Tax Credit helped more than 6.2 million Americans in the fight against poverty (Center for American Progress, 2016). A disadvantage to the Earned Income Tax Credit, is experienced in workers whose income is relatively low without qualifying children (Center for American Progress, 2016). In theseShow MoreRelatedThe Federal Reserve Meeting Essay899 Words   |  4 PagesDuring the Federal Reserve meeting in April 2016, the range was left unchanged for federal funds at 0.25 percent to 0.5 percent (TRADING ECONOMICS, 2016). Labor markets experience growth confirmed by policy makers, yet economic activity was monitored as being slow (TRADING ECONOMICS, 2016). The risks associated with the financial developments of the country have ceased (TRADING ECONOMICS, 2016). The average percentage of interest rate in the U.S. averaged at 5.8. March of 1980 a record high was recordedRead MoreFederal Reserve Chairman Ben Bernanke s Meeting2051 Words   |  9 PagesJanuary 28-29, 2014 Federal Reserve Chairman Ben Bernanke s meeting dealt mainly with the issues that could stabilize the economy after the great recession. After creating a number of policies to fight the 2008 crisis, Chairman s move to further reduce Quantitative Easing was a bit of a disappointment. The Fed will reduce its purchases of long-term Treasuries and mortgage-backed securities by another $10 billion a month. Apart from this, Fed is going to concentrate on maximizing employment ratesRead MoreThe Federal Reserve Transparency Act1492 Words   |  6 PagesWhen discussing various issues affecting the federal government, transparency issues have to be put on the front line because the Federal Reserve’s should have one of the most transparent systems. The Federal Reserve transparency act was formulated in order to ensure that there is transparency in the federal reserves through making the federal government publicize most of the financial institutions that it offers loans to and the organ izations which use the open market operations in order to purchaseRead MoreThe Federal Reserve System Is The United States Central Bank1339 Words   |  6 PagesHayden Hill Macroeconomics Professor Gislason 27 April 2017 The Federal Reserve System The Federal Reserve System, also called â€Å"the FED†, is the United States central bank, a national institution which governs the production and distribution of money. It was created to provide the United States with a more secure and more stable financial structure. The Federal Reserve System has many responsibilities today. First, the FED controls U.S. monetary policy by altering the supply and demand of the economyRead MoreThe Federal Open Market Committee1571 Words   |  7 Pageswill happen if the Federal Open Market Committee brings back up the interest rates that have been down? Since the interest rates have been down, great things for businesses and employment have been happening. If interest rates go back up, corporate finance is going to be challenged. About the FOMC The Federal Open Market Committee (FOMC) is the monetary policymaking body of the Federal Reserve System. The Federal Open Market Committee is composed of 12 members: five of the 12 Reserve Bank presidentsRead MoreThe Central Bank For The United States980 Words   |  4 PagesBlah blah blah something about an article I find. The federal reserve in simple terms is the central bank for the United States. In a more in depth description of the â€Å"the Fed† it is made up of the Board of Governors. This board is made up of seven members, all selected by the President himself. However, they also need to be confirmed by the Senate. This board is located in Washington D.C. but has 12 regional banks around the country. Some of these places include San Francisco, Philadelphia, MinneapolisRead MoreWhich Of The Monetary Tools For The Federal Reserve Is Most Often Used? Why? Essay739 Words   |  3 Pagesmonetary tools available to the Federal Reserve is most often used? Why? The monetary tools often used by Federal Reserve are open market whose operations are flexible. Open markets is a trade that involves buying and selling of U.S. Treasury and federal agency securities in the open market and consists members of the Board of Governors of the Federal Reserve System and 5 Reserve Bank presidents. The FOMC holds 8 regularly scheduled meetings during the year and other meetings as needed. Therefore openRead MoreThe Federal Reserve Board Is A Regulating Body That Determines How United States Will Lend Money Essay957 Words   |  4 PagesThe Federal Reserve Board is a regulating body that determines how United States will lend money by coordinating the banks and defining the value of the dollar. A Governor on the Federal Reserve board communicates with the twelve region s bank presidents, economic analysts, and their regional directors, and collectively define the dollar by selling long-term and short-term bonds that advance a percentage of the worth. Once an agreement has been made upon fraction percentage, banks are required toRead MoreThe Federal Reserve System Is The Central Banking System Of The United States987 Words   |  4 PagesThe Federal Reserve system is the central banking system of the United States. It was created because there were a series of panics in the U.S that needed to be controlled in the monetary system. The main points of this system that was created was to originally maximize employment, stabilize prices, and moderate long-term interest rates. It now does much more for example it supervises and regulates banks, maintains the stability of the financial system and provides financial services to depositoryRead MoreThe Federal Open Market Committee1313 Words   |  6 PagesAbstract The Federal Reserve System has three branches: the Board of Governors, The Federal Open Market Committee, and Reserve Banks. The Federal Reserve System (Fed) supplies and regulates America’s money to all the banks. The Board of Governors is the main authority of the three branches of the Fed, and it supervises other banks. The Federal Open Market Committee is the most prominent policymaker of the three branches and regulates the supply of money in the economy. Federal Reserve Banks serve