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Topic: Miscellaneous
Number of pages / Number of words: 4 / 1084
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The Fed must be able to effectively deal with current policy concerns. The Banking Commission would be mainly concerned with the safety and stability of the banks. This would encourage conservative regulations, and could inhibit economic growth. The Fed clearly has a hand on knowledge of the banking system...


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The Fed clearly has a hand on knowledge of the banking system. "The common indicators of monetary policy - the monetary aggregates, the federal funds rate, and the growth of loans - are all influenced by bank behavior and bank regulation. Understanding changes and taking action in a timely fashion can be achieved only by maintaining contact with examiners who are directly monitoring banks" (Syron 7)...


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