Who is responsible for implementing monetary policy in the U.S.?

The Federal Reserve Board is responsible for implementing monetary policy in the United States. This central banking system plays a critical role in managing the nation's money supply and interest rates to achieve economic objectives such as maximum employment, stable prices, and moderate long-term interest rates. The Federal Reserve uses various tools, including open market operations, the discount rate, and reserve requirements, to influence economic activity and maintain stability in the financial system.

The Treasury Department is involved in fiscal policy, managing government revenue and expenditures, rather than monetary policy. The Securities and Exchange Commission primarily oversees securities markets and protects investors, focusing on regulating financial markets rather than managing the money supply. The Bureau of Economic Analysis provides data on economic performance but does not implement policy. The clear delineation of responsibilities ensures that the Federal Reserve can conduct monetary policy independently and effectively respond to economic changes.