Which part of the Federal Reserve System is responsible for monetary policy?

A. Board of Governors
B. Federal Reserve Banks
C. Federal Open Market Committee
D. Federal Reserve Advisory Council

Question

20-06-2024
Social Studies

Answered

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Which part of the Federal Reserve System is responsible for monetary policy?

A. Board of Governors
B. Federal Reserve Banks
C. Federal Open Market Committee
D. Federal Reserve Advisory Council

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GinnyAnsweridn GinnyAnsweridn · Answer 1 · 2024-06-20T18:56:16-04:00

Final answer:

The Federal Open Market Committee (FOMC) within the Federal Reserve System is responsible for monetary policy through overseeing open market operations.

Explanation:

The Federal Open Market Committee (FOMC) is the part of the Federal Reserve System responsible for monetary policy. It is composed of the seven members of the Federal Reserve Board and five of the 12 Federal Reserve Bank presidents. The FOMC oversees open market operations, which is a primary tool used for U.S. monetary policy.

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