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Dmitrij [34]
3 years ago
7

Why does the federal reserve system have a high degree of political independence? it is divided into geographical districts. the

system is owned by the banks. the governors are appointed for life terms. the system has only advisory power?
Business
1 answer:
Anit [1.1K]3 years ago
5 0

The answer is: the system is owned by the banks.

Even though the name contain the word 'federal' , the federal reserves are not entirely owned by the government.  Several banks owned percentage of ownership to the federal reserve. Government officials only acted as the Board of Directors, not the owner. Because of this dis attachment, the federal reserve could had high degree of political independence

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