Because in a democracy, effectively granting the legislature the power to print money and hand it to citizens is fraught with some pretty obvious conflicts of interest.
(yes I know the Fed is “independent” but it is the tail on a government dog—the two are separated only in name)
Is the peril greater than giving money to large financial corporations? Extremely Large corporations often lobby or directly corrupt their surrounding regulatory authorities.
(yes I know the Fed is “independent” but it is the tail on a government dog—the two are separated only in name)