Federal Reserve System (redirected from Federal Reserve)

Federal Reserve System

The central bank of the United States. The Fed, as it is commonly called, regulates the U.S. monetary and financial system. The Federal Reserve System is composed of a central governmental agency in Washington, D.C. (the Board of Governors) and twelve regional Federal Reserve Banks in major cities throughout the United States.

Notes:

You can divide the Federal Reserve's duties into four general areas:

1. Conducting monetary policy
2. Regulating banking institutions and protecting the credit rights of consumers
3. Maintaining the stability of the financial system
4. Providing financial services to the U.S. government

See also: Alan Greenspan, Discount Rate, Discount Window, Federal Funds Rate, Federal Reserve Bank, Fed Model, Federal Reserve Open Market Committee (FOMC), Federal Reserve Board (FRB), Interest Rate, Monetary Policy, Moral Suasion, Open Market Operations, Prime Rate, Reserve Requirements

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Federal Reserve System

The monetary authority of the US, established in 1913, and governed by the Federal Reserve Board located in Washington, D.C. The system includes 12 Federal Reserve Banks and is authorized to regulate monetary policy in the US as well as to supervise Federal Reserve member banks, bank holding companies, international operations of US banks, and US operations of foreign banks.

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Federal Reserve System

The independent central bank that influences the supply of money and credit in the United States through its control of bank reserves. Federal Reserve actions have great impact on security prices. For example, restriction of bank reserves and lending ability in an attempt to restrain inflation tends to drive up interest rates and drive down security prices over the short run. Also called Fed. See also Federal Open Market Committee (FOMC).