I think you're misunderstanding the purpose of the Federal Reserve Bank. This institution exists only for the purpose of enriching, protecting and expanding the influence of the global banking cartel. The economic principles are very sound.
1. Create money out of thin air, loan it to a sovereign government and collect interest on the loan.
2. Ensure that member banks can never go bankrupt by serving as a lender of last resort.
The Federal Reserve was created by bankers for the exclusive benefit of bankers. Fed policy only seems insane or unsound if you assume that this monetary system was set up for the purpose of facilitating real economic activity without preference or bias.
They don't care if they ruin the USA economy and cause a crash of the dollar. It's all funny money that they conjured out of thin air anyway. What they really want is to make sure that they end up with all of the tangible assets which do have real value. Look at how much real estate they were able to steal in the wake of the 2008 crash.