In February 2017, President Trump signed Executive Order 13772, outlining "Core Principles for Regulating the United States Financial System." This order directed the Treasury Department to review financial regulations and align them with these principles, aiming to foster economic growth and streamline oversight.
While this move enhanced the Treasury's role in financial regulation, it did not merge the Federal Reserve into the Treasury Department. The Federal Reserve remains an independent central bank, responsible for monetary policy, whereas the Treasury manages federal finances. However, the administration's actions did increase collaboration between the two entities, particularly in areas like financial regulation and economic policy.
In summary, although the Treasury's influence over financial regulation was expanded during President Trump's first term, the Federal Reserve continues to operate independently, maintaining its distinct role in the U.S. financial system.
A little clarification from GPT
In February 2017, President Trump signed Executive Order 13772, outlining "Core Principles for Regulating the United States Financial System." This order directed the Treasury Department to review financial regulations and align them with these principles, aiming to foster economic growth and streamline oversight.
While this move enhanced the Treasury's role in financial regulation, it did not merge the Federal Reserve into the Treasury Department. The Federal Reserve remains an independent central bank, responsible for monetary policy, whereas the Treasury manages federal finances. However, the administration's actions did increase collaboration between the two entities, particularly in areas like financial regulation and economic policy.
In summary, although the Treasury's influence over financial regulation was expanded during President Trump's first term, the Federal Reserve continues to operate independently, maintaining its distinct role in the U.S. financial system.