March 15, 2010
Exploring the Fed's Independence in the Classroom
By Cindy Ivanac-Lillig
As folks teach about the Fed, they find themselves forced into using words that are so strange and almost contradictory that it makes me wonder what it must sound like for someone hearing it for the first time -- like many of our students. Think about "Quasi-Governmental," "Public-Private," "Independent and Accountable" and "Hybrid." I bet you all could think of some more on your own.
So, have I used these words to explain the Fed at times -- yes. I have tried not to, but the Fed structure was purposefully overlapping and rather complex in order to ensure its independence. Unfortunately, this complexity is often hard to explain without using these borderline nonsensical phrases. The Cleveland Fed has a series of "drawing board" YouTube videos designed to be fun, educational videos that explore different Fed subjects. They just recently released one on the Fed's Independence that does a good job of illustrating and explaining the importance of the unique structure especially as it relates to monetary policy.
Hope you enjoy. Let me know what you think.
Posted by Cindy at March 15, 2010 4:18 PM
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Thanks for sharing! I've passed this along to the U of I Extension's Financial Wellness page on Facebook.
Posted by: Kathy Sweedler at March 15, 2010 6:07 PM
This post is very usefull thx!
Posted by: Bella at June 25, 2011 8:39 PM
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