The Federal Reserve System in the years 2000-2011

Dissertation deals with the Federal reserve system, which is the central Bank of the United states of America. The dissertation is supposed to analyze monetary politics of FED with regard to the possible connection of this institution with the last financial crisis. Chapter nbr. I. introduces short history of the central banking in the USA, the situation before FED was created, circumstances with the enactment of Federal Reserve act from 1913, followed by foundation of FED and first of all about its task during the period of Great depression in the 30th of the 20th century. Enclosed is the overview of critical economical opinions how the FED was functioning. The second part of the dissertation describes the monetary politics of FED before the crisis years 2000-2007. It evaluates the main steps the FED undertook to prevent or alleviate the incomming crisis. Further it evaluates these steps with recommendations of renowned and respected economists. Next chapter deals with the mortgage market crisis and with the monetary politics of FED between the years 2007-2011. This chapter also describes different situation of FED and European central bank and their monetary politics as a reaction to the mortgage crisis. Fourth and last chapter is aimed at the possible cause of the financial crisis and present development of FED