FRED

Definition

FRED, or the Federal Reserve Economic Data, is a comprehensive database maintained by the Federal Reserve Bank of St. Louis that provides a wide range of economic data and indicators. It serves as a valuable source of information for understanding the state of the economy and informing economic decision-making.

5 Must Know Facts For Your Next Test

1. FRED provides access to over 500,000 economic time series data from various government and private sources, covering a wide range of economic topics.
2. The data available on FRED includes national accounts, labor market, prices, money and banking, international, and regional economic indicators.
3. FRED allows users to easily visualize, download, and analyze economic data through interactive charts, graphs, and customizable data views.
4. The Federal Reserve Bank of St. Louis developed and maintains FRED as a public service to promote economic education and research.
5. FRED is widely used by economists, policymakers, researchers, and the general public to track and understand the performance of the U.S. and global economies.

Review Questions

• Explain the purpose and significance of the FRED database in the context of economic data sources.
  • The FRED database, maintained by the Federal Reserve Bank of St. Louis, serves as a comprehensive and accessible source of economic data and indicators. It provides researchers, policymakers, and the general public with a wide range of time series data covering various aspects of the economy, such as national accounts, labor market statistics, prices, and international economic measures. The availability of this centralized database allows for in-depth analysis and understanding of economic trends and performance, which is crucial for informed decision-making and economic policy formulation.
• Describe the types of economic data and indicators that can be accessed through the FRED database.
  • The FRED database offers a vast array of economic data and indicators, covering a diverse range of economic topics. Users can access national accounts data, such as Gross Domestic Product (GDP) and its components, labor market statistics including employment, unemployment, and wages, price indices like the Consumer Price Index (CPI) and Producer Price Index (PPI), money and banking measures, international economic data, and regional economic indicators. This comprehensive collection of economic data allows for a thorough analysis of the state of the economy and the identification of trends and relationships between various economic variables.
• Analyze the role of the Federal Reserve in the development and maintenance of the FRED database, and explain how it contributes to economic research and policymaking.
  • The FRED database is developed and maintained by the Federal Reserve Bank of St. Louis, which is part of the Federal Reserve System, the central banking system of the United States. The Federal Reserve's involvement in FRED reflects its commitment to promoting economic education, research, and transparency. By providing a centralized and accessible platform for a vast array of economic data, FRED enables researchers, policymakers, and the general public to better understand the dynamics of the economy. This contributes to informed decision-making and the formulation of effective economic policies. The Federal Reserve's stewardship of FRED underscores its role as a key institution in the collection, dissemination, and analysis of economic data, which is crucial for maintaining the stability and growth of the U.S. economy.

Related terms

Economic Indicators: Economic indicators are statistics or data points that provide insights into the health and performance of an economy, such as GDP, inflation, unemployment, and consumer spending.

Economic Data: Economic data refers to quantitative information that describes the state of an economy, including measures of production, consumption, prices, employment, and other economic variables.

Federal Reserve: The Federal Reserve, or the Fed, is the central banking system of the United States responsible for monetary policy, financial system stability, and the regulation of banking institutions.