Question

Central Banking and the Federal Reserve System 1. What were the first central banking institutions, and how did central banking initially develop in the United States? 2. Where did responsibilities for monetary and banking policies rest in the absence of a U.S. central bank in the nineteenth and early twentieth centuries? 3. What motivated Congress to establish the Federal Reserve System? 4. Why did Congress restructure the Federal Reserve in 1935? 5. Who makes the key policy decisions at the Federal Reserve? The Federal Reserve and the Financial System 6. What are the main assets and liabilities of the Fed? 7. In what ways is the Fed act as the government's bank? 8. What is the rationale for the Fed's role as a bank for private banks? 9. Why does the Fed play a supervisory role in the U.S. payment system? 10. In what ways do payment-system risks span national borders, and how do central banks seek to contain these risks?

Answer 1

fachana/Aerve and the financial Main Assats of fee is government recurthal and liabilities include the dirency thay circulated. Fed act as government bank as it selle and redeons the government securities. It also issues the currency Fed's role is more important in us payment system. They provide the payment services. They act ! as intermediary in clearing and settling the banking payments. Feed helps the private banke to lonel funds for their function. Ted act as a lender for the private banks

Central Banking and Feel System Bank of England and Swedish Riks book were the first central booking institutions They were in the lifth century Central Banking acts as la lender for the other financial instikehons. 3. In order to regulate the financial stability and to avoid the financial panic during bad. situations. It is to control the financial morkets, alon! 4. Congress restructure ted system for the sound effective and. uninterrupted banking system Board of Governors makes the policy décescons at red ( Federal Reserved in kencter for the