1. Historical View over The U.S. Federal Reserve Bank
092SIS59
Jihyun Lee

2. The Federal Reserve System
Created in 1913 by the enactment of the Federal Reserve Act
Five Parts of the FRS
Board of Governors of the Federal Reserve System
The Federal Open Market Committee
12 regional privately-owned Federal Reserve Banks
Private U.S. member banks
Various advisory councils

3. The Federal Open Market Committee
Three tools of monetary policy
open market operations
the discount rate
reserve requirements
Twelve members
the seven members of the Board of Governors of the Federal Reserve System
the president of the Federal Reserve Bank of New York
four of the remaining eleven Reserve Bank presidents

4. HISTORY of The Federal Reserve Federal Reserve System
First Bank of the United States
Free Bank Era
No central Bank
National Bank
1913-present
Second Bank
Federal Reserve System
of the United States

5. The First Bank of the United States (1791–1811)
Chartered by Congress and President George Washington on Feb 25, 1791 at the urging of Alexander Hamilton
strong opposition from Thomas Jefferson and James Madison
expired under President James Madison

6. The Second Bank of the United States (1816–1836)
revived it in the form of the Second Bank of the United States
renewal of the bank's charter
the reelection of President Andrew Jackson

7. Federal Reserve System (1913-present)
Aldrich-Vreeland Act National Monetary Commission
Aldrich: “a centralized bank”
opposition from politicians–his ties to bankers
such as J.P. Morgan, his daughter's marriage to
Rockefeller, and Jr. Aldrich
passed Congress in late 1913 with Democrats in support and Republicans against it.
HISTORY of The Federal Reserve

8. Thank You!