At its inception,the Federal Reserve was intended to be
A)the Treasury's banker.
B)the issuer of government debt.
C)a lender-of-last-resort.
D)a regulator of bank holding companies.

Question

Quizplus · Accepted Answer

The Federal Reserve was initially created as a lender-of-last-resort, with the main goal of stabilizing the financial system during periods of economic turbulence. Its primary function was to lend money to banks that were struggling to meet their obligations and prevent banking panics. While the Federal Reserve does perform other functions, such as regulating bank holding companies and overseeing monetary policy, its original purpose was to serve as a lender-of-last-resort.

At Its Inception,the Federal Reserve Was Intended to Be