Why was the federal reserve system set up

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1. Why was the Federal Reserve System set up with 12 regional Federal Reserve banks rather than one central bank, as in other countries? 4. In what ways can the regional Federal Reserve banks influence the conduct of monetary policy? 5.Which entities in the Federal Reserve System control the discount rate? Reserve requirements? Open market operations? 9. What is the primary tool that Congress uses to exercise some control over the Fed? 12. Why must eliminating the Fed's independence lead to a more pronounced political business cycle? Short responses please nothing too lengthy. Answer each Individual.

Reference no: EM133542943

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