Are The Fed's rate adjustments helpful?

Although the FDC is true believer in free markets, he wonders if The Fed's rate adjustments really do "work" - in a long term sense. It was fairly obvious that today's 3/4 point rate drop did have an effect on the stock market performance - today. But, what about the long term?

Look at it another way: During an economic expansion, The Fed incrementally raises rates to avoid a supposed harder fall later. But would we really have a harder fall later?

Again, looking at the long term, perhaps if The Fed did not interfere, we'd probably have more sustained prosperity over the longer term. But, our markets are set-up for instant gratification, so in comes The Fed.

Perhaps economic booms would be a little more restrained if everyone knew that The Fed was going to ride to the rescue with what amounts to welfare (rate cuts) to keep the boat sufficiently afloat.

Alan Greenspan is the most obvious example of a studied free market libertarian economist who whole-heartedly believes in the role of The Fed in it's attempt to balance the market. But still...The FDC wonders. If the "invisible hand" can work it's magic for all other markets, why not the biggest market of all?