Economics Analysis Essay
Erica Price
GOVT 200-B03 LUO
Biblical rule is the submission of all government to the law and grace of God. God gave
us a moral foundation with which we can be overseen. Let’s take a moment to look at how the
government has surpassed the biblical principles in some form of policy.
The Federal Reserve consists of twelve districts, with each of these districts having a
bank. "These are controlled from Washington, DC, by the Federal Reserve Board… " The
Federal Reserve System is a central bank of the United States and it was created by Congress.
They created it to give the country "a safer, more flexible, and more stable monetary and
financial system." On December 23, 1913, the Federal Reserve Bank was created when President
Wilson signed the Federal Reserve Act. Today, the Federal Reserve is responsible for four areas.
The first one is directing the nation's monetary policy. Second is managing and adjusting banks.
It also maintains the reliability of the financial system. The Fed is also in charge of providing
specific services to the U.S. government.
In the United States, the Federal Reserve Act of 1913 gave the bank a duty of setting
fiscal policy. The Act was changed in 1977 to include the following two goals: "Promote
maximum sustainable output and employment, stabilize and prices." Economic policy can be
described as an alteration in the money supply and how it is distributed. Another way of
describing the monetary policy is to determine its effects on the economy. In the Federal
Reserve's document they state "In the short run, some tension can exist between the two goals of
stabilizing prices and promoting output and employment." "In such circumstances, those
responsible for monetary policy face a dilemma and must decide whether to focus on defusing
price pressures or on cushioning the loss of employment and output." Therefore, the monetary
policy is described as adaptive if the central bank is looking to economic growth, unbiased if the
bank isn’t attempting to increase growth or fight inflation, or close-fitting if it plans to lessen
inflation.
The bible is the foundation of our economy. All things start with choices. Choices define
our situations as a country. Also, leaders' choices meaningfully influence the economy. "God,
being the creator of all things, thereby becomes sovereign over all things." That means that any
government, not under God, is a fugitive government. The rule of government is simply a power
struggle. There is no such thing as an absolute right, only rights granted by the government,
which can be taken away at the government’s choice. “During the time between Genesis 2 and
Revelation 21, the Earth is broken and filled with people and forces that work against God’s
purposes.” The government is just an extension of those same people.
The Fed is the "federal banking authority in the U.S. that performs the functions of a
central bank and is used to implement the country's monetary policy, providing a national system
of reserve cash available to banks." The government has surpassed biblical principles in most all
forms of economic policy.
Biblical Government. http://216.104.176.171/RdLb/21PbAr/Pl/Cnst/BibGvt.htm
Joshua 24:15 But if it is unpleasing in your sight to ......https://biblehub.com/joshua/24-
15.htm
The Federal Reserve Act And The Central Bank Essay | Bartleby.
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The lost Century - Egon von Greyerz - goldswitzerland.com.
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U.S. "Peter Pan" Economy Is Unable to Remove Its Training ....
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How Much Influence Does The Fed Have? - The Entrepreneur Fund.
https://theentrepreneurfund.com/how-much-influence-does-the-fed-have/
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