Importance of the Federal Market Commitee

Why is the FOMC important to US stability? The FOMC or Federal Market Committee is the Federal Reserves monetary policymaking body. Their responsibilities include the formation of policy which is designed to promote stable prices and economic growth. In short the FOMC basically manages our nation's money supply. The FOMC is managed by a Board of Governors who are responsible for coming up with the policies. They typically meet eight times a year in Washington, …

…actions of the FOMC have a direct impact on everyday citizens. The Federal Funds Rate may be the reason your car loan rate is higher than you may have expected, or even for a home loan. The point is the decisions made by the FOMC impact every citizen one way or another, whether it is via interest rates or simply the impact the state of the economy as a whole has on our nation's citizens.