Trump gets his Fed

Very soon, America will have a Federal Reserve that seeks to implement Trump's preferred monetary policies. But what are those policies?

President Trump and the Fed.
(Image credit: Illustrated | Images courtesy Win McNamee/Getty Images, AP Photo/Andrew Harnik)

The most important job of the most important financial institution in the United States, and perhaps the world, is controlled by just 12 people. This group of supposed wise men and women at the Federal Reserve meets a few times a year to decide how to set national interest rates — i.e. how to balance the need to control inflation against the need for job creation and wage growth. And soon, President Trump will be able to remake it in his own image.

Of the 12 Fed officials who sit on the Federal Open Market Committee, five are rotated in from the central bank's regional branches. But the other seven are appointed by the president and confirmed by the Senate. Of those seven, President Trump will get to pick at least five; a dominating majority of the appointed Fed officials, and over a third of all voting officials.

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Jeff Spross

Jeff Spross was the economics and business correspondent at TheWeek.com. He was previously a reporter at ThinkProgress.