The Job of the Federal Reserve

The job of the Federal Reserve is to prevent a price instability. That's either an inflation or a stable prices, that's your first job. Your second job is to use your ability to manipulate the monetary system to minimize economic downturns and to manage a balanced economic growth. We've had three crashes in the first 20 years of this century: The dot-com crash in the spring of 2000, the subprime mortgage crash in 2008 or nine, and the so-called COVID-19 crisis in 2020. So when the downturns of 2008 and 2008 and 2020 happen, the Federal Reserve pumped in money because that's what they've been taught to do.