Glossary: The Federal Reserve

The Federal Reserve, or Fed, oversees money supply, interest rates and credit with the goal of maintaining stable, low-inflation growth. Governed by a seven-member board, the Federal Reserve system includes 12 regional Federal Reserve Banks and 25 branches. It is independent of the president, but must report to Congress.

Functions

The Fed's primary task is to conduct the nation's monetary policy in pursuit of full employment and stable prices. It also has to supervise and regulate the financial system and provide certain financial services to the other government institutions, financial sector and the public, including playing a major role in operating the nation's payments system.

Structure and Personnel

Monetary Policy and the Open Market Committee

Interest rates

US government debt markets