Last Friday we had a trip as usual where is the central bank of the USA. And a stuff member who told us he have worked for the Federal Reserve Bank of Boston for twenty years gave us a speach to introduce the central bank.
The Federal Reserve System was established in Washington, D.C. in 1913, and twelve reginal Ferderal Reserve Banks, located in major cities throughout the nation. It includs the Federal Reserve Board, The Federal Reserve banks and the Federal Open Market Committee. To my suprise, the central bank of the USA is a 100% private bank. The Federal Reserve Board is the core institution of the system. It is a Federal Agency, consisting of seven members( chairman, vice-chairman and five members) who must nominated by the president and authorized by the Senate.
The Federal Reserve Banks hold the cash reserves of depository institutions and make loans to them. It move currency and coin into and out of circulation, and collect and process millions of checks each day. It supervie and examine commercial bans that are members of the Federal Reserve System for safety and soundness. In general, it has three main role: Monetary Policy, Payment System and Bank Regulation & Supervision.
This Friday we learned a lot about the basic information of the Federal Reserve Bank. We know how it works. The trips like this are worthwhile.
No comments:
Post a Comment