What powers does the federal government have over the economy today?

The federal government in the United States holds several powers over the economy, primarily derived from the Constitution and subsequent legislation. Some of the key powers include:

1. Fiscal Policy: The federal government controls fiscal policy through taxation and spending. It has the authority to levy taxes, set tax rates, and allocate government spending on various programs, infrastructure, defense, healthcare, education and social welfare.
2. Monetary Policy: The Federal Reserve, an independent entity within the government, regulates monetary policy. It controls the supply of money, sets interest rates, and implements policies to influence economic growth, employment, and inflation through tools like open market operations and reserve requirements.
3. Regulation and Oversight: The federal government oversees and regulates various sectors of the economy. Agencies like the Securities and Exchange Commission (SEC), Environmental Protection Agency (EPA), Federal Trade Commission (FTC) and others regulate financial markets, environmental standards consumer protection, antitrust laws, and more.
4. Trade Policy: The federal government manages trade relations with other countries. It negotiates trade agreements, imposes tariffs and trade barriers and oversees international trade policies to protect domestic industries and promote fair trade practices.
5. Stimulus and Economic Aid: During economic downturns or crises, the federal government can enact stimulus measures. This includes fiscal stimulus packages, bailouts, loans and other forms of economic aid to stabilize markets, support businesses and assist individuals facing financial hardship.
6. Infrastructure Development: The federal government invests in infrastructure projects like roads, bridges, airports and public transportation through funding and planning initiatives, aiming to promote economic growth and connectivity.
7. Healthcare and Social Programs: The government administers healthcare programs like Medicare and Medicaid as well as various social welfare programs, to provide healthcare services and financial assistance to eligible individuals and families.

These powers and interventions by the federal government play a significant role in shaping the overall economic environment, influencing economic growth, employment, inflation, consumer protection, trade relations and various aspects of the nation's economic well-being.