The Federal Reserve's Current Monetary Policy

THE FEDERAL RESERVE'S CURRENT MONETARY POLICY

The Federal Reserve Monetary Policy is the responsibility of the FOMC (Federal Open Market Committee), created when President Woodrow Wilson signed the Federal Reserve Act on December 23, 1913. (FRB) It took almost a year to establish the twelve regional Reserve Banks and to determine its boundaries.

The FOMC is responsible for formulation of a monetary policy designed to promote economic growth, full employment, stable prices, and a sustainable pattern of international trade and payments (FRB). The twelve districts include Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas, and San Francisco. They meet eight times a year in Washington, DC. The committee is made up of one President of the Federal Reserve Bank of New York, four other reserve bank Presidents who serve in rotation and contribute to the Committee's discussions and deliberations, there are