Federal Reserve :: Economics

The peopleal Reserve is the central bank of the get togetherStates. It was created by Congress to provide the nationwith a safer, more flexible and more stable fiscal andfinancial system. The federal Reserve was created on declination 23, 1913, with the sign language of the Federal ReserveAct by President Woodrow Wilson. Today, the FederalReserves duties f solely into four general areasconducting thenations monetary polity by influencing money and creditconditions in the economy in pursuit of full employment andstable prices, regulating banking institutions to ensure thesafety of the nations banking and financial system and toprotect the credit rights of consumers, maintaining thestability of the financial system and providing certainfinancial services to the U.S. government, to the public, tofinancial institutions and to foreign official institutions.The body structure of the Federal Reserve was designedby Congress to give it a broad perspective on the economyand on economic a ctivity in all parts of the nation. It iscomposed of a central government agency(Board of Governors)in Washington D.C., 12 regional Reserve Banks, located inmajor cities nearly the nation. The Federal Reserves income comes from theinterest on U.S. government securities that it has acquiredthrough open market operations. Other sources of income arethe interest on foreign cash investments. at once theFederal Reserve has paid its expenses, it then turns overthe rest of its earnings to the U.S.Federal Reserve EconomicsThe Federal Reserve is the central bank of the UnitedStates. It was created by Congress to provide the nationwith a safer, more flexible and more stable monetary andfinancial system. The Federal Reserve was created onDecember 23, 1913, with the signing of the Federal ReserveAct by President Woodrow Wilson. Today, the FederalReserves duties fall into four general areasconducting thenations monetary policy by influencing money and creditconditions in the economy in purs uit of full employment andstable prices, regulating banking institutions to ensure thesafety of the nations banking and financial system and toprotect the credit rights of consumers, maintaining thestability of the financial system and providing certainfinancial services to the U.S. government, to the public, tofinancial institutions and to foreign official institutions.The structure of the Federal Reserve was designedby Congress to give it a broad perspective on the economyand on economic activity in all parts of the nation. It iscomposed of a central government agency(Board of Governors)in Washington D.C., 12 regional Reserve Banks, located inmajor cities around the nation. The Federal Reserves income comes from theinterest on U.S. government securities that it has acquiredthrough open market operations. Other sources of income arethe interest on foreign currency investments. Once theFederal Reserve has paid its expenses, it then turns overthe rest of its earnings to the U.S.