Cronyism: The Origins of the Federal Reserve

The Fed was sold as a check on Wall Street's power. Wall Street's share of the nation's bank reserves went up after it passed, not down. Patrick Newman on the Federal Reserve as cronyism.

Source: Mises Institute

DW NOTE

The Fed was sold as a mechanism to contain Wall Street. Wall Street's share of national bank reserves rose after 1913. Newman traces the Jekyll Island meeting to its logical endpoint: not stabilisation, but the 1920s credit expansion that collapsed in 1929. Central banking as cartel enforcement.

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