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Origins of the 1913 Federal Reserve Act The Federal Reserve Act of 1913 emerged from multiple periods of economic uncertainty throughout American history. Before its enactment, the United States had centralized national banks that were mostly controlled by powerful eastern banking institutions. This led to mistrust among rural citizens who favored state-chartered or “free banks”…

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The 1913 Federal Reserve Act is a pivotal piece of legislation in the United States that established the Federal Reserve System, often referred to as “The Fed.” This act was enacted to create economic stability in the U.S. by introducing a central bank responsible for overseeing monetary policy. Background of the 1913 Federal Reserve Act…