WHy is it the Federal' responsibility to set interest rates, not national banks?
The Federal Reserve is the central banking system of the United States and is responsible for setting the country's monetary policy. The Federal Reserve has the authority to set interest rates in order to promote economic growth, stability, and low inflation.
National banks, on the other hand, operate under the regulations and oversight of the Federal Reserve and are subject to its policies and directives. By having a centralized authority like the Federal Reserve set interest rates, it ensures a consistent and coordinated approach to managing the country's monetary policy. This helps to avoid conflicting actions by individual banks that could potentially disrupt the overall economy.