The US CENTRAL BANK system, created in 1913 via the Federal Reserve Act, comprised of 12 FEDERAL RESERVE BANKS, the FEDERAL RESERVE BOARD, the FEDERAL OPEN MARKETS COMMITTEE, and member banks (which hold EQUITY in the 12 Federal Reserve banks). Operating responsibilities are divided between the board and the banks.
Link to This DefinitionDid you find this definition of FEDERAL RESERVE SYSTEM helpful? You can share it by copying the code below and adding it to your blog or web page.
Written and fact checked by The Law Dictionary