Why is it the Fed’s responsibility to set interest rates, not national banks?%0D%0A%0D%0A(1 point)%0D%0AResponses%0D%0A%0D%0AThe Fed is responsible for printing all money.%0D%0A%0D%0AThe Fed is responsible for printing all money.%0D%0A%0D%0AThere are not very many national banks, so few are qualified.%0D%0A%0D%0AThere are not very many national banks, so few are qualified.%0D%0A%0D%0AThe Fed consults national banks, but they do not make the final decisions.%0D%0A%0D%0AThe Fed consults national banks, but they do not make the final decisions.%0D%0A%0D%0ANational banks are for profit, so they are not looking at the overall economy.%0D%0A%0D%0ANational banks are for profit, so they are not looking at the overall economy.
The Fed is responsible for setting interest rates because it is an independent government agency that is designed to oversee and regulate the nation's monetary policy in order to promote economic stability and growth. National banks, on the other hand, are for-profit institutions that may prioritize their own profits over the broader economic interests of the country. Additionally, the Fed has access to a wide range of economic data and expert analysis to inform its decision-making process, making it better equipped to make informed decisions about interest rates compared to individual national banks.
