Federal Reserve System Essay

1290 Words 6 Pages
Although the name the Federal Reserve System sounds governmentally controlled, that assumption of conducting is false. The FRS is independently within the outskirts of the government. Final decisions within the board are not concluded by the president, but the Federal system allows for a review by Congress. The FRS will annually report to Congress basically to inform them on the status of their work in progress. So the FRS is clearly established and controlled by themselves within the guidelines and restrictions by government.
     The forming of the structure had 2 goals. One was to; “serve as lender-of-last-resort in times of crisis. Secondly to provide a national currency that would expand and contract as
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Louis are the major locations for the FRS banking. Members of the board are responsible for many things that tie into the structure of the FRS. Primary responsibilities have board members mangled up with monetary policy. These seven members are not only isolated into the Reserve System, they also make up the 12- member FOMC (Federal Open Market Committee). They issue the affecting cost and money that is out there and available in the community. These topics are talked about during their 2 to 3 meeting weekly. Publicly accepting, these meetings are a great chance for the public to follow discount rates and general changes in the economies money. A few incidents are possible. Confidential information dealing with money will result in closed meetings to deal with the issue just within the board. But not forgetting about regulations and duties, members of the board do confer with officials of other government agencies, bank reps and most importantly business supervisors from other countries who deal with large trades. The banks within the system are selected and closely regulated by the board of

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