The $Federal Reserve, often referred to as the Fed, is the central banking system of the United States. Established in 1913, its primary purpose is to manage the country's monetary policy, regulate banks, maintain financial stability, and provide financial services. The Fed influences interest rates and controls the money supply to promote economic growth and stability. The Federal Reserve consists of a Board of Governors and twelve regional Federal Reserve Banks. It plays a crucial role in overseeing the banking system and acting as a lender of last resort during financial crises. The Fed's decisions impact inflation, employment, and overall economic health.