How is the Federal Reserve accountable to the voters but at the same time insulated from short-term political pressures? Briefly discuss.
The Federal reserve is accountable to the public as well as the U.S Congress. However , it is insulated from polictical pressures and it follows a method of transparency which is indeed the main tool on the whole. The monetary policy is hence designed for stable prices and however during conditions like recession, it aims to balance the price structure and also reduce the extent of recession and this is done due to the situation as well as political pressures all in all.
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