Asked by Anita Gallegos on May 01, 2024
Verified
The series of bank failures in 1907 occurred despite the creation of the Federal Reserve many years earlier.
Federal Reserve
The central banking system of the United States, which oversees the country's monetary policy, regulates banks, maintains financial stability, and provides financial services to the government.
Bank Failures
Occurrences where banks are unable to meet their obligations to depositors or become insolvent, often leading to a loss of public confidence and financial instability.
- Appreciate the historical context and reasons for the establishment of the Federal Reserve System.
Verified Answer
ZK
Zybrea KnightMay 05, 2024
Final Answer :
False
Explanation :
The Federal Reserve was actually created in 1913, in response to the bank failures of 1907, to provide a safer, more flexible, and more stable monetary and financial system.
Learning Objectives
- Appreciate the historical context and reasons for the establishment of the Federal Reserve System.