Also known as The Fed, it is comprised of a central Board of Governors (located in Washington, D.C.) and twelve regional Federal Reserve Banks located in major cities across the country.
 Role of the Fed
The main points to remember of the Federal Reserve are:
- Its purpose is to supervise and regulate American fiscal policy.
- Fed policy is controlled by American banks who sit on the Fed's board, not the American government.
- Implement Monetary Policy by buying and selling U.S. Treasury Bonds and anything else it deems necessary
- Maintain a strong payments system
Federal Reserve web site