[经济学]米什金货币银行学Topic 7 central bank.pdf

Topic 7 Central Banks School of Finance, Shanghai University of Finance and Economics Copyright @ 2009 School of Finance, SUFE Reference Chapter 14:Structure of Central Banks and the Federal Reserve System Copyright @ 2009 School of Finance, SUFE Road Map I. Origins of the Federal Reserve System II. Structure of the FRS III. European Central Bank IV. Central Bank Behavior Copyright @ 2009 School of Finance, 3 SUFE The Fed is the KEY player in Money supply process  The Federal Reserve exercises fairly tight control over the monetary base  While in theory, fluctuations in the total money supply can reflect either a change in the monetary base or a change in the money multiplier, in practice, changes in the monetary base account for most of the changes in the money supply Copyright @ 2009 School of Finance, SUFE 4 I.Origins of the Federal Reserve System  Resistance to establishment of a central bank – Fear of centralized power – Distrust of moneyed interests  First U.S. experiments with a central bank terminated in 1811 and in 1836 Copyright @ 2009 School of Finance, SUFE 5 Origins of the Federal Reserve System (cont’d)  No lender of last resort – Nationwide bank panics on a regular basis – Panic of 1907 so severe that the public was convinced a central bank was needed  Federal Re