Frontline Season 40 Episode 14 The Power of the Fed

In Frontline season 40 episode 14 titled "The Power of the Fed," viewers are taken on a deep dive into the Federal Reserve, an institution that has arguably more power than any other in shaping the American economy. Through a combination of interviews with top Fed officials, politicians, and economists, the episode explores the Fed's role in everything from setting interest rates to implementing financial regulations.

The episode begins by providing an overview of the Fed's history and the ways in which it has evolved over the years. One of the key takeaways is that though the Fed was created as an independent body in order to avoid political interference, the institution is still subject to pressure from Congress and various interest groups. Viewers also learn about some of the key players within the Fed, including former Chair Janet Yellen and current Chair Jerome Powell.

Throughout the episode, viewers are given a sense of the immense responsibility that the Fed has in ensuring economic stability. One of the most significant levers that the Fed has is the power to set interest rates, which affects everything from mortgage rates to credit card interest rates. Viewers learn how the Fed's decision to raise rates in the past has had major consequences for the economy, including leading to recessions.

One of the most interesting parts of the episode is when it delves into the ways in which the Fed's policies have affected different sectors of the economy, including the housing market and the banking industry. Viewers learn about the ways in which the Fed helped to prop up the housing market during the 2008 financial crisis, as well as the ways in which they have worked to prevent future crises from occurring.

The episode also explores the ways in which politics intersect with Fed policy. For example, viewers learn about President Trump's contentious relationship with the Fed and his attempts to influence their decision-making. The episode also touches on the ways in which the Fed's decisions can affect income inequality and create winners and losers within the economy.

Overall, "The Power of the Fed" provides a comprehensive and compelling overview of one of the most significant institutions in American government. It helps to demystify the Fed and provides viewers with a sense of the immense responsibility that the institution has in shaping the economy. Whether you're an economist or simply someone who wants to better understand the forces that affect your wallet, this episode is well worth a watch.