Page "Federal Reserve System" Paragraph 3

According to the Board of Governors, the Federal Reserve is independent within government in that " its monetary policy decisions do not have to be approved by the President or anyone else in the executive or legislative branches of government.

" Its authority is derived from statutes enacted by the U. S. Congress and the System is subject to congressional oversight.

The members of the Board of Governors, including its chairman and vice-chairman, are chosen by the President and confirmed by the Senate.

The government also exercises some control over the Federal Reserve by appointing and setting the salaries of the system's highest-level employees.

Thus the Federal Reserve has both private and public aspects.

The U. S. Government receives all of the system's annual profits, after a statutory dividend of 6 % on member banks ' capital investment is paid, and an account surplus is maintained.

In 2010, the Federal Reserve made a profit of $ 82 billion and transferred $ 79 billion to the U. S. Treasury.

This was followed at the end of 2011 with a transfer of $ 77 billion in profits to the U. S. Treasury Department.