In this paper, I have presented FED bank as organization its historical background and its additional bodies and various tools at his disposal to achive economic, financial stability and prosperity that are crucial for maintaining steady growth and prosperity. Its managment and structure is unique because it operates one of the world’s lagerst financial organization that dictates financial policies not only for US, but also for the rest of the world. Decisions that are made impactes all levels of society and therefore it is crucial for them to be adopted in line with ensuring long-term prosperitiy an a way that is not in line with current political beliefs or trends that are in practise difficult to surpass as this would sorely meant loss of political power and it´s functions. Knowning the functioning and actions of the Fed allows more in depth understadning of global financial situations and helps understand causes for global financial crises and it´s tools such as monetary easing and loans to contain and reverse caused damage. To gain confidance, trust and public simpaty FED must operate transparent and in accordance with laws that bind it to strive and maintain long-term prosperity, maintaining country and the world stable monetary and financial growth. This is sometimes, due to conflict of interests between politics and economy, difficult task to achive, therefore FED and politics must be separated and operate under different jurisdiction. Without confindance of other institutions and people central banking will colapse which will lead to financial kaos and unstable economy around thge world.
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