Natalie answered study guide questions on the role of the Federal Reserve in manipulating the money supply in response to economic conditions. I placed on the whiteboard the organizational structure of the Fed, and the role of the Open Market Committee in controlling the money supply by buying or selling bonds . We added to Natalie's notes the definition of the "discount rate" and "reserve requirement " for banks as other means of the Fed controlling the money supply. The concept of the Federal Reserve is a bit abstract,but Natalie's answers to the study guide were accurate and clear.For homework due Tuesday, I assigned reading pages 579-582 and answering study guide questions 1-4.This next topic addresses the history of the US banking system.