1. Explain what the functions of the Federal Reserve are.
2. Research for a map of the 12 Federal Reserve District Banks. Include the map and explain what cities each district bank is located in and explain why you feel that we have this current geographic structure.
3. Explain how the Fed can influence the interest rate by engaging in Open Market Operations. What happens to interest rate when the Fed sells bonds? What happens to the interest rate when the Fed purchases bonds?
4. Explain what stagflation is. When have we seen periods of stagflation?