Thomas Shogren, Chapter 10, Question #7

During this chapter I learned the about the roll of the Federal Reserve. As a kid I thought that the government should just print off more money and give it to the poor in order to help those who are in bad situations, but obviously that would be a terrible idea. If the government printed off more money then the value of the dollar would go down causing inflation, which would cause even more economic downpoor. I didn't realize the importance of the Federal Reserve and the difficult decisions they have to make in terms of their economic decisions. If the Federal Reserve makes a bad decision there can me major inflation/deflation which can cause a major disaster in terms of the economy.