The Fed enjoys very little independence and is largely controlled by the president, Congress, and the Office of Management and Budget.

Question

Quizplus · Accepted Answer

The Fed is designed to be an independent agency, insulated from political pressures. While the president does have the power to appoint members of the Fed Board of Governors and the Chairman, and Congress can pass laws affecting the Fed's mandate and structure, the Fed is intended to operate without direct control from the executive or legislative branches of government.

The Fed Enjoys Very Little Independence and Is Largely Controlled