Situation:

Your producer has asked you for a story on The Federal Reserve. There is a lot of confusion in the American public about the functions and role of the Fed. You and your producer believe that you have a duty to explain what the Federal Reserve Banking system is and how it influences macroeconomic outcomes. Your report will focus primarily on the Fed's role in monetary policy. Remember, your report needs to be easily understood by the common man or woman, Break down the three tools of monetary policy with a special emphasis on Open Markets Operation. Offer clear and concise explanations and definitions of terms that may be unfamiliar to your audience. In planning the story, you will also need to give it some context by highlighting the role The Fed most recently played in the Recession of 2008-09 and continues to play in the economic recovery. You can also feature an interview with a Fed official (Benjamin Bernanke), an economist, and/or a man on the street interview. Your job is to unravel the mystery of The Fed!

Your Newshour segment will be assessed on how strongly you present information about the basic structure of the Fed and why it has independence within the government.Your explanations of the three monetary tools will be understandable and economic terms (Required Reserve Ratio, Discount Rate, Open Market Operations, treasury securities, and loose vs tight monetary policy) will be clear and concise. You will include examples to help explain and illustrate Open Market Operations. You will connect the tools to the three Macroeconomic goals of full employment, reasonable economic growth, and stable prices. You will also be assessed on your discussion of The Fed today given the recent financial crisis and deep recession.