What role does the Federal Reserve play in U.S. politics? 🔊
The Federal Reserve plays a crucial role in U.S. politics by overseeing monetary policy, regulating banks, and providing financial stability. It aims to control inflation, manage employment levels, and set interest rates. By influencing the availability of credit and money supply, the Federal Reserve impacts economic conditions, which directly affects political decisions and public opinion. Additionally, its independence from direct political control enables it to respond to economic crises effectively. This interplay of economics and politics illustrates the Federal Reserve's significant influence on policymaking and the broader economic landscape.
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