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The Fed performs five general functions: Conducting the nations monetary policy. Regulating banking institutions. Monitoring and protecting the credit rights of consumers. Maintaining the stability of the financial system. Providing financial services to the U.S. government2.
Reserve banks conduct research on the economy, supervise banks in their regions and provide financial services to banks and the U.S. government. he Federal Open Market Committee, or FOMC, is the Feds chief body for monetary policy-making.
he Federal Reserve Systems responsibilities include: conducting monetary policy; supervising and regulating financial institutions; providing services to depository institutions, the federal government, and the public.
It is the Federal Reserves actions, as a central bank, to achieve three goals specified by Congress: maximum employment, stable prices, and moderate long-term interest rates in the United States (figure 3.1).
Conducts the nations monetary policy to promote maximum employment, stable prices, and moderate long-term interest rates in the U.S. economy. Promotes the stability of the financial system and seeks to minimize and contain systemic risks through active monitoring and engagement in the U.S. and abroad.
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To conduct monetary policy or control the money supply.

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