Green Book

Green Book

The green book is prepared by staff members at the Board of Governors five days in advance of an FOMC meeting. It presents the staff’s interpretations on several economic and financial variables and is divided into two parts. The first part of the green book describes and interprets significant developments in U.S. economic activity, prices, interest rates, flows of money and credit, and the international sector that have occurred in recent months or quarters. This section also presents forecasts of a number of variables for the next six to eight quarters. The second section of the green book provides additional information on recent developments. It describes trends in employment, production, and prices and the factors influencing them. This section also includes sector-by-sector analyses, commenting on such areas as housing, motor vehicle production, inventories, and spending by federal, state, and local governments. It reviews a range of developments in domestic financial markets, including credit patterns for banks, other financial intermediaries, non-financial businesses, and consumers. Finally, international developments are reviewed, with commentary on trade statistics, international financial transactions, foreign exchange markets, and economic activity in a number of foreign countries.