Federal Reserve System

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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.

Federal Reserve System

The central bank system of the United States. The Federal Reserve regulates the monetary policy of the United States, especially by setting the discount rate and the fed funds rate and by buying and selling U.S. Treasury securities. It consists of 12 regional banks that operate under the guidance of a Federal Reserve Board, whose seven members are appointed by the President of the United States. The Federal Reserve System has the authority to print money, a controversial measure both now and at the time it was founded. All federally-chartered banks must belong to the Federal Reserve System and purchase a certain amount of stock in the Federal Reserve bank in charge of their particular regions. The Federal Reserve System was established in 1913.

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.

Federal Reserve System.

The Federal Reserve System, sometimes known as the Fed, is the central bank of the United States.

The Federal Reserve System, which was established in 1913 to stabilize the country's financial system, includes 12 regional Federal Reserve banks, 25 Federal Reserve branch banks, all national banks, and some state banks. Member banks must meet the Fed's financial standards.

Under the direction of a chairman, a seven-member Federal Reserve Board oversees the system and determines national monetary policy. Its goal is to keep the economy healthy and its currency stable.

The Fed's Open Market Committee (FOMC) sets the discount rate and establishes credit policies. The Federal Reserve Bank of New York puts those policies into action by buying and selling government securities.

Federal Reserve System

Often called “the Fed,”it is the central bank of the United States,created in 1913.It regulates credit through the interest rates it charges for short-term loans to financial institutions,supervises and regulates banking institutions,and provides advisory services to the government.Funding comes from interest on investments,fees for services to depository institutions,and interest on loans.The public usually comes into contact with the Fed in two ways:When the Federal Reserve chairman announces interest rate changes for loans to member financial institutions,almost all financial institutions change their interest rates within days afterward.In this way,the Fed controls the cost of credit to consumers.Additionally,it provides a central clearinghouse for checks drawn on different banks across the nation, making it possible for your bank in your home town to give you credit for a check drawn on another bank on the other side of the country.

References in periodicals archive ?
The branch contains the largest check processing center in the Federal Reserve, with employees handling some 2.
So, if Congress is serious about reforming the Federal Reserve, it will necessarily have to think about changing more than the institutional behavior of the Fed.
The Federal Reserve Board announced on September 28, 2005, the issuance of an order of prohibition against Jessica Faris, a former employee and institution-affiliated party of SunTrust Bank, Atlanta, Georgia.
Moreover, mainstream economists warn that when the Federal Reserve tried to ``fine-tune'' the economy in an effort to stimulate growth during the 1970s it helped set off an inflationary spiral that was brought under control only after a long and painful recession in the early 1980s.
Ann Hailey, executive vice president, corporate development, Limited Brands, Columbus, Ohio, was re-elected a director of the Federal Reserve Bank of Cleveland.
As of October 22, 2005, the Portland Branch office of the Federal Reserve Bank of San Francisco will no longer process checks, and banks that are served by that office have been reassigned to the Seattle Branch office of the Federal Reserve Bank of San Francisco.
The senators have sought ways to require more accountability from the Federal Reserve, which at its founding in 1913 was granted the freedom to operate with no direct oversight from Congress as a means of ensuring its independence in setting interest-rate policy.
Early preparation and recurring meetings with the Federal Reserve has kept both parties abreast of what's happening in the industry and the specific needs of VSoft customers.
In 2004 and early 2005 the Federal Reserve discontinued cash services through Branches in Little Rock, Arkansas; Louisville, Kentucky; and Buffalo, New York, and established cash depots in those cities.
While it contains no direct criticism of Greenspan and does not address the monetary policy pursued by the Federal Reserve under his leadership, the report provides an unusually detailed look inside an institution with enormous power and, critics contend, insufficient accountability.
Our collaborations with SunTrust and Viewpointe and many other innovative organizations are leading the industry toward a more efficient and effective payments system," commented Kathleen Young, the Federal Reserve Banks' national account manager for SunTrust.
Federal Reserve Education, which provides instructional materials and tools to increase teachers' and students' understanding of the Federal Reserve, economics, and personal finances.