The Federal Deposit Insurance Corporation (FDIC) is one of two agencies that supply deposit insurance to depositors in American depository institutions,the other being the National Credit Union Administration,which regulates and insures credit unions. The FDIC is a United States government corporation supplying deposit insurance to depositors in American commercial banks and savings banks. The FDIC was created by the 1933 Banking Act,enacted during the Great Depression to restore trust in the American banking system. More than one-third of banks failed in the years before the FDIC's creation,and bank runs were common. The insurance limit was initially US$2,500 per ownership category,and this was increased several times over the years. Since the enactment of the Dodd–Frank Wall Street Reform and Consumer Protection Act in 2010,the FDIC insures deposits in member banks up to US$250,000 per ownership category. FDIC insurance is backed by the full faith and credit of the government of the United States of America,and since its start in 1933 no depositor has ever lost a penny of FDIC-insured funds.
The Federal Open Market Committee (FOMC),a committee within the Federal Reserve System,is charged under United States law with overseeing the nation's open market operations. This Federal Reserve committee makes key decisions about interest rates and the growth of the United States money supply. Under the terms of the original Federal Reserve Act,each of the Federal Reserve banks was authorized to buy and sell in the open market bonds and short term obligations of the United States Government,bank acceptances,cable transfers,and bills of exchange. Hence,the reserve banks were at times bidding against each other in the open market. In 1922,an informal committee was established to execute purchases and sales. The Banking Act of 1933 formed an official FOMC.
Janet Louise Yellen is an American economist serving as the 78th United States secretary of the treasury since January 26,2021. A member of the Democratic Party,she previously served as the 15th chair of the Federal Reserve from 2014 to 2018. Yellen is the first woman to hold each of those posts and the first person to have led the White House Council of Economic Advisers,the Federal Reserve,and the Treasury Department.
The Community Reinvestment Act is a United States federal law designed to encourage commercial banks and savings associations to help meet the needs of borrowers in all segments of their communities,including low- and moderate-income neighborhoods. Congress passed the Act in 1977 to reduce discriminatory credit practices against low-income neighborhoods,a practice known as redlining.
Roger W. Ferguson Jr. is an American economist,attorney and corporate executive who served as the 17th vice chair of the Federal Reserve from 1999 to 2006. Prior to his term as vice chairman,Ferguson appointed as a member of the Federal Reserve Board of Governors since 1997. A member of the Democratic Party,Ferguson was the first African American to hold that post. After leaving the Fed,he served as president and CEO of the Teachers Insurance and Annuity Association of America (TIAA) from 2008 to 2021. Ferguson also appointed to board of directors of several companies.
Stanley Fischer is an Israeli American economist who served as the 20th Vice Chair of the Federal Reserve from 2014 to 2017. Fisher previously served as the 8th governor of the Bank of Israel from 2005 to 2013. Born in Northern Rhodesia,he holds dual citizenship in Israel and the United States. He previously served as First Deputy Managing Director of the International Monetary Fund and Chief Economist of the World Bank. On January 10,2014,President Barack Obama nominated Fischer to be Vice-Chairman of the US Federal Reserve Board of Governors. He is a senior advisor at Blackrock. On September 6,2017,Stanley Fischer announced that he was resigning as Vice-Chairman for personal reasons effective October 13,2017,just before his 74th birthday.
Alan Stuart Blinder is an American economics professor at Princeton University and is listed among the most influential economists in the world according to IDEAS/RePEc.
The Federal Reserve System has faced various criticisms since it was authorized in 1913. Nobel laureate economist Milton Friedman and his fellow monetarist Anna Schwartz criticized the Fed's response to the Wall Street Crash of 1929 arguing that it greatly exacerbated the Great Depression. More recent prominent critics include former Congressman Ron Paul.
Ben Shalom Bernanke is an American economist who served as the 14th chair of the Federal Reserve from 2006 to 2014. After leaving the Fed,he is a distinguished fellow at the Brookings Institution During his tenure as chair,Bernanke oversaw the Federal Reserve's response to the late-2000s financial crisis,for which he was named the 2009 Time Person of the Year. Before becoming Federal Reserve chair,Bernanke was a tenured professor at Princeton University and chaired the department of economics there from 1996 to September 2002,when he went on public service leave.
Donald Lewis Kohn is an American economist who served as the 18th Vice Chair of the Federal Reserve from 2006 to 2010. Prior to his term as vice chairman,Kohn appointed as a member of the Federal Reserve Board of Governors since 2002. Fed's veteran,he retired after 40 years at the central bank,currently serving on the Financial Policy Committee for the Bank of England and as a Senior Fellow at the Brookings Institution.
The Federal Reserve Bank of Kansas City is located in Kansas City,Missouri and covers the 10th District of the Federal Reserve,which includes Colorado,Kansas,Nebraska,Oklahoma,Wyoming,and portions of western Missouri and northern New Mexico. It is second only to the Federal Reserve Bank of San Francisco in size of geographic area served. Missouri is the only state with two main Federal Reserve Banks;the other is located in St. Louis.
Kevin Maxwell Warsh is an American financier and bank executive who served as a member of the Federal Reserve Board of Governors from 2006 to 2011. During and in the aftermath of the 2008 financial crisis,Warsh acted as the central bank's primary liaison to Wall Street and served as the Federal Reserve's representative to the Group of Twenty (G-20) and as the Board's emissary to the emerging and advanced economies in Asia. Prior,he served as Special Assistant to the President for Economic Policy and Executive Secretary of the White House National Economic Council. He is the Shepard Family Distinguished Visiting Fellow in Economics at Stanford University's Hoover Institution,a scholar and lecturer at the Stanford Graduate School of Business,a member of the Group of Thirty,a member of the Panel of Economic Advisers of the Congressional Budget Office,and a former steering committee member of the Bilderberg Group. He has conducted research in the field of economics and finance,and has advised several private and public companies.
"Too big to fail" (TBTF) and "Too big to jail" is a theory in banking and finance that asserts that certain corporations,particularly financial institutions,are so large and so interconnected that their failure would be disastrous to the greater economic system,and that they therefore must be supported by governments when they face potential failure. The colloquial term "too big to fail" was popularized by U.S. Congressman Stewart McKinney in a 1984 Congressional hearing,discussing the Federal Deposit Insurance Corporation's intervention with Continental Illinois. The term had previously been used occasionally in the press,and similar thinking had motivated earlier bank bailouts.
Vernon P. "Vern" McKinley,born in East Chicago,Indiana advises governments on financial sector policy and legal issues. He is a Visiting Scholar at the George Washington University Law School and the co-author with the Wall Street Journal's James Freeman of Borrowed Time:Two Centuries of Booms,Busts and Bailouts at Citi published by HarperCollins in 2018. He is also the author of Financing Failure:A Century of Bailouts,published by the Independent Institute in 2012. He was a primary election challenger to 28-year incumbent Congressman Frank Wolf in northern Virginia's 10th congressional district in the 2008 elections,the only one to ever challenge Wolf in a primary during his long tenure. McKinley lives with his family in Ashburn,Virginia and they have also lived in Kyiv and Yerevan.
This is a list of historical rate actions by the United States Federal Open Market Committee (FOMC). The FOMC controls the supply of credit to banks and the sale of treasury securities. The Federal Open Market Committee meets every two months during the fiscal year. At scheduled meetings,the FOMC meets and makes any changes it sees as necessary,notably to the federal funds rate and the discount rate. The committee may also take actions with a less firm target,such as an increasing liquidity by the sale of a set amount of Treasury bonds,or affecting the price of currencies both foreign and domestic by selling dollar reserves. Jerome Powell is the current chairperson of the Federal Reserve and the FOMC.
James Brian Bullard is the chief executive officer and 12th president of the Federal Reserve Bank of St. Louis,positions he has held since 2008. He is currently serving a term that began on March 1,2021. In 2014,he was named the 7th most influential economist in the world in terms of media influence.
The government interventions during the subprime mortgage crisis were a response to the 2007–2009 subprime mortgage crisis and resulted in a variety of government bailouts that were implemented to stabilize the financial system during late 2007 and early 2008.
The Structure of the Federal Reserve System is unique among all the assets within central banks,with private aspects. It is described as "independent within the government" rather than "independent of government".
Esther L. George is president and chief executive of the Federal Reserve Bank of Kansas City.
There have been several efforts or appeals in the United States to reinstate repealed sections of the Glass–Steagall Act following the financial crisis of 2007-08,as well as elsewhere to adopt similar financial reforms.
