The position of the U.S. government in the economy can be broken down into two basic sets of functions: it tries to promote economic stability and growth, and it tries to regulate and control the economy. Only the federal government can regulate domestic and foreign commerce, declare war, and set taxes, expenditure, and other policies at national level.
I put the wrong answer on this before and I'm not sure what the correct one is or how to completely delete this comment so I'm sorry to anyone looking for the answer.