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Federal Reserve

The Federal Reserve (“the Fed”) is the central bank of the United States. It was created in 1913 with President Woodrow Wilson’s signing of the Federal Reserve Act.
The Federal Reserve exists to maintain a stable monetary policy by using the variety of tools at its disposal to influence the money supply and credit conditions.
The Federal Reserve is an independent institution “within the government.” Congress does not ratify the decisions of the Fed nor does the Fed receive any funding through the Congressional budget process. However, the Federal Reserve is subject to oversight by Congress and the Chairman of the Federal Reserve must report to Congress twice each year.
The Federal Reserve System divides the nation into 12 districts, with a Reserve Bank located within each district. Reserve Banks, which are responsible for the activity within the district, are located in Boston, New York, Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, Minneapolis, Kansas City, Dallas, and San Francisco. Smaller branches of the Fed are located across the country.