-
-
Previously, the 13 states had their own banks, currencies and financial institutions.
-
It served as the main depository for government revenue, making it a highly profitable bank.
-
Andrew Jackson believed the banking system gave too few men too much power and caused inflation. He was also a proponent of gold and silver.
-
Money supply Increases by 84%.The total money supply rose from $150 million to $267 million.
-
By September 1833, government funds were being deposited into state chartered banks.
-
343 of the 850 banks in the US closed entirely as largest banks consolidated wealth and power.
-
Lincoln issued his own currency – “greenbacks” – through the US Treasury, and made them official money. His soldiers went on to win the war, followed by great economic expansion.
-
New York Stock Exchange dropped dramatically as everyone tried to get their money out of the banks at the same time across the nation.
-
Over the course of a week, some of the nations most powerful bankers met secretly off the coast of Georgia, drafting a proposal for a private Central Banking system.
-
Taxes ensured that citizens would cover the payment of debt due to the Central Bank, the Federal Reserve, which was also created in 1913.The 16th Amendment stated: “The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.”
-
Two days before Christmas, while many members of Congress were away on vacation, the Federal Reserve Act was passed, creating the Central banking system we have today.
-
-
The “Roaring 20’s”-From 1921 to 1929 the Federal Reserve increased the money supply by $28 billion, almost a 62% increase over an eight-year period.
-
In 1929, the Federal Reserve began to pull money out of circulation as loans were paid back. They created a “bust” which was inevitable after issuing so much credit in the years before. The Federal Reserve’s actions triggered the banking crisis, which led to the Great Depression.
-
“Black Thursday”-The most devastating stock market crash in history. Billions of dollars in value were consolidated into the private banker’s hands at the expense of everyone else.
-
-
This government issued currency would bypass the governments need to borrow from bankers at interest.
-
Restores Power to the Federal Reserve
-
Repealed part of the Glass-Steagall Act of 1933 and allowed investment banks, commercial banks, securities firms, and insurance companies to merge. The government gave Citi officials the opportunity to review and approve drafts before the legislation was introduced and to modify it as they desired.
-
-
This contracts the market.
-
The financial crisis impacted people around the world – millions lost their homes, jobs, and retirement funds. Many of the smaller banks were absorbed by others, which allowed the biggest banks to further consolidate wealth and eliminate competition.
-
The bank made a record profit of $17.4 Billion in 2010.
