Monetary sovereignty refers to the ability of a government to control its own currency and monetary policy. This means that a country can issue its own money, set interest rates, and manage inflation without external interference. Countries with monetary sovereignty can respond to economic challenges more effectively by adjusting their policies to suit their specific needs. A key aspect of monetary sovereignty is the independence of the central bank, such as the Federal Reserve in the United States. This independence allows the central bank to make decisions based on economic conditions rather than political pressures, helping to maintain stability and promote growth within the economy.