cash. In addition, small banks in agricultural areas of the country at this time sought to obtain from its correspondent banks in major cities heavily in cash. During the banking crisis, savings banks usually require pre-application for withdrawal of bank deposits, and many banks in both New York and across the country artificially limited the appeal of deposits in cash. At that time, several months cash sold above their face value, yielding additional economic system.1908, Congress passed the so-called law Oldrncha-Ryland (Aldrich-Vreeland Act), in essence demanded the establishment of the National Commission treatment, whose functions were attributed to the development of the project for the central issuing bank of the country. Appointed a commission consisting of nine senators and nine House members held several hearings on the issues under examination, and organized an extensive special investigation being banking in the United States and in foreign countries. Materials of these studies were so comprehensive, that the final report of this commission consisted of 23 heavy volumes. In 1913, President Woodrow Wilson, despite some opposition to the idea of ​​a central institution issuing bank in the US, has entered into financial and economic practices of US financial institution such as the Federal Reserve System. the beginning, the main purpose of the Federal Reserve System was to help banks during the banking crisis and stock market fever. It was further established that in the period in question there has been no fully satisfactory mechanisms for the needs of banks in the appropriate level of liquidity. Initially, control over the quantity of bank credit, money supply and the rate of interest does not fall within Fed. In this era of economic and financial relations between the US dominated the gold standard ', and it was assumed that the amount of gold stored in the bowels of the US banking system is the mechanism that regulates the amount of money in circulation and bank credit. The founding fathers of the Fed in his dreams represented the central bank of issue, which would be capable of providing elastic supply of cash by means of discounting commercial banks. Original position, lying in the basement of the organization of the Federal Reserve System, based on a kind of cooperative system in which the US federal government, the banking system, businessmen, entrepreneurs and ordinary consumers would cooperate on an equal footing. Initially, the Law on the Federal Reserve System in 1913 detailed the development of relations between the twelve Federal Reserve Bank and Federal Reserve Board (renamed in 1935 in the Board of Governors of the Federal Reserve System) does not provide. From 1914 to 1922, officials from the twelve Federal Reserve banks hold periodic meetings and consultation meetings, which developed the direction of monetary policy and make decisions accordingly. In those early years of the Federal Reserve Sy...
