Some Consequences of and Alternatives to the Federal Reserve's Attachment to Free Reserves

Let me begin by elaborating on the meaning of "the attachment to free reserves' and after further reducing the scope of the subject, go on to point out the consequences of this attachment and some reasons for it. I can then conclude by indicating some suggestions that will achieve some of what we take to be the major aims of the Federal Reserve while avoiding some of the problems that we find to be most serious in present or recent Federal Reserve policy-making.