Why is the structure of the Federal Reserve considered a compromise between the interests of private banks
and those of the federal government?

A. The Senate selects private banks to be members of the Federal Reserve while bank
employees make key decisions about interest rates.

B. The President appoints the Board of Governors while the board of directors for the
district banks consists of bankers and business leaders.

C. The House of Representatives passes laws that are proposed by the Federal Reserve while
bank owners elect the Board of Governors.

D. The Federal Advisory Council collects information from the Board of Governors while
private member banks establish the regulations.