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Tuesday, January 29, 2002 at 2:30 p.m.
and continuing on
Wednesday, January 30,2002 at 9:00 a.m.

Advices of the election of the following members and alternate members of the Federal Open
Market Committee for the year commencing January 1, 2002, have been received by the
Secretariat, and these individuals have executed their oaths of office.
Anthony M. Santomero
William J. McDonough
Jerry L. Jordan
Robert D. McTeer, Jr.
Gary H. Stern

Alternate Members
J. Alfred Broaddus, Jr.
Jamie B. Stewart, Jr.
Michael H. Moskow
Jack Guynn
Robert T. Parry

1. Election of officers to serve until the election of their successors at the first regularly
scheduled meeting of the Committee after December 31, 2002.
A. Chairman
B. Vice Chairman
C. Staff officers
2. Selection of a Federal Reserve Bank to execute transactions for the System Open Market
3. Selection of Manager of the System Open Market Account.
4. Review of Authorization for Domestic Open Market Operations and proposal to extend
suspension of paragraphs 3 to 6 of the Guidelines for the Conduct of System Operations in
Federal Agency Issues (Memorandum from Dino Kos on "Request for votes on
authorizations for Desk operations" dated January 18, 2002.)


5. Review of (a) Foreign Currency Authorization, (b) Foreign Currency Directive and (c)
Procedural Instructions with respect to Foreign Currency Operations. (See above mentioned
6. Approval of the minutes for the December 11, 2001 meeting.
7. Foreign currency and domestic open market operations.
A. Report on foreign exchange market developments.
B. Report on domestic market developments and action to ratify the open market
transactions for System account since the meeting on December 11, 2001.
8. Discussion of monetary policy near zero bound on nominal interest rates (See briefing
memos by D. Reifschneider and J. Williams and by M. Goodfriend, both dated
January 23, 2002, and background memos: "Preventing Deflation: Lessons from Japan's
Experience in the 1990s" dated January 18, 2002, and "Monetary Policy when the Nominal
Short-Term Interest Rate is Zero" dated November 27, 2000).
9. Economic situation.
A. Staff report (Chart Show).
B. Committee discussion.
10. Current monetary policy.
A. Staff comments.
B. Committee discussion.
C. Action to adopt policy directive and "balance of risks" statement for press release.
11. Discussion of disclosure policy issue (See memo by Governor Ferguson dated
January 22, 2002).
12. Confirmation of date for next meeting (Tuesday, March 19, 2002).