Policy decisions are implemented via OMO at the NYFed. That doesn't mean the member banks actually set policy. The policy is set by the Chairman, who is appoint

Policy decisions are implemented via OMO at the NYFed. That doesn't mean the member banks actually set policy. The policy is set by the Chairman, who is appointed along with the rest of the Board of Governors by the President. Neither the member banks nor the shareholders of the members banks have policy input. But I'll grant that "antiquated" is an improvement over my use of "quaint". > We should just make the member banks an official part of the federal government. If it gets people to stop arguing that the Federal reserve is "private", then I guess it would be an improvement. That would be the only effect of this change, though - cosmetic - as it is a cosmetic feature in the first place.