1. Mr. Nunn The Federal Reserve System

2. Federal Reserve System The Federal Reserve System or the Fed- is the central bank of the United States.

3. Board of Governors of the Federal Reserve System Board of Governors of the Federal Reserve System- the governing body of the Federal Reserve System. Seven Members appointed for 14 years by the President. The chairperson serves 4 year terms.

4. Federal Reserve District Banks Twelve exists acts like a “branch” bank to the Federal Reserve.

5. Federal Open Market Committee FOMC- the 12 member policy-making group within the Fed. This committee has the authority to conduct open market operations.

6. The Responsibilities of the Fed. Control the money supply. Supply the economy with paper money (Federal Reserve notes). Hold Bank Reserves.

7. The Responsibilities of the Fed Continue. Provide check-clearing services. Supervise member banks. Serve as the lender of last resort.