The Fed's Role in the Economy

There are a few things that the fed can do to. You know one thing that you might see on stupid facebook comments It's like just print more money fed. That's all they do anyway. The fed doesn't just print moreMoney They can influence the money supply though in a few ways. One is there's something called the reserve requirement, which is basically what happens when banks don't have enough cash left over after depositors pay their bills. A hundred billion dollars will not be in the economy tomorrow Right after this auction today because the fed's taking it off the market Which was enough to calm those inflation worries.