Under the authority of the Federal Reserve Act of 1913
A) member banks were required to purchase capital stock in the Federal Reserve Banks of their district.
B) member banks may not borrow from the Fed.
C) a formal open-market committee arrangement was established.
D) national banks were permitted to become members of the Fed if they could show evidence of satisfactory financial condition.

Question

Quizplus · Accepted Answer

The Federal Reserve Act of 1913 required member banks to purchase capital stock in their respective Federal Reserve Banks, which is a condition for membership in the Federal Reserve System.

Under the Authority of the Federal Reserve Act of 1913