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What is the structure of the Federal Open Market Committee (FOMC)? I.e, how is the FOMC...

What is the structure of the Federal Open Market Committee (FOMC)? I.e, how is the FOMC formed…who makes up the FOMC?

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Answer #1

The FOMC or (Federal open Market Committee) which is part of Federal Reserve system makes the decision. The members include 12 members . They are as following
1. The President of Federal Reserve of New York
2. 4 Presidents of the remaining 11 Federal Reserves who preside for 1 year term
3.  7 Members of the board of governors of the federal reserve system,

These members decide about the Open Market operations and interest rate.

The 7 members of the board of governors are appointed by the President and Senate's approval. The 4 presidents are presidents are of other regional federal reserves and the president of federal reserve of New York.

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