Banking System in the US

Briefly describe the central bank of the United States and how it is organized. How does this organization interact with the banking system and how does the banking system relate to what we have studied regarding the macroeconomic goals of this country? Be sure to answer all parts of this question.

You are selected as a trusted economic advisor to a newly elected Representative in the House of Representatives. His constituent group is very much against “big government” and fiscal and monetary policy measures that “intervene” with the economy. However he learns very quickly that taking extreme stances will not keep him in office very long. He wants to understand where other policymakers are coming from in terms of their understanding. Therefore, he asks you to prepare a brief (a short, succinct essay of no more than 1-1.5 pages) explaining the rationale commonly held for intervention in the economy both when it is in recession and when it is booming. Please prepare a brief to assist the newly elected representative. For more information Banking System in the US check out :

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