Central Banking System Of The Federal Reserve System
A Federal Reserve Bank is a regional bank of the Federal Reserve System, the central banking system of the United States. There are twelve
Federal Reserve Systems, one for each of the twelve Federal Reserve Districts that were created by the Federal Reserve Act of 1913. The
banks are jointly responsible for implementing the monetary policy set forth by the Federal Open Market Committee. The twelve Federal
Reserve Systems are Federal Reserve Bank of Atlanta, Federal Reserve Bank of Boston, Federal Reserve Bank of Chicago, Federal Reserve
Bank of Cleveland, Federal Reserve Bank of Dallas, Federal Reserve Bank of Kansas City, Federal Reserve Bank of Minneapolis, Federal
Reserve Bank of New York, Federal Reserve Bank of Philadelphia, Federal ... Show more content on Helpwriting.net ...
In 1791, the First Bank of the United States was established and was signed off by George Washington. It was located in Philadephia, but
also had branches in other cities. The tasks in which it performed were: accepting deposits, issuing bank notes, making loans, and purchasing
securities. Twenty years later the charter expired, and the United States was without a central bank for a couple of years. During this time, the
United States suffered from inflation. In 1816, James Madison signed the Second Bank of the United States into existence. Once that charter
expired, President Jackson removed the government funds as part of the Bank War, and the United States went without a central bank for 40
years. A financial crisis known as the Panic of 1907 was headed off by a private conglomerate to banks in trouble. The Federal Reserve
System was created by the Federal Reserve Act of December 23, 1913, establishing a new central bank intended to serve as a formal to banks
in times of liquidity crisis. The Federal Reserve Act allowed for a regional Federal Reserve System, operating under a supervisory board in
Washington, D.C. Congress approved the Act, and President Wilson signed it into law on December 23, 1913. This act, provided for the
establishment of Federal Reserve Banks, to furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a
more effective supervision of banking in the United States, and for other
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