- •A project of Liberty Fund, Inc.
- •Frank A. Fetter, Economics, vol. 2: Modern Economic Problems [1916]
- •The Online Library of Liberty Collection
- •Edition used:
- •About this title:
- •About Liberty Fund:
- •Copyright information:
- •Fair use statement:
- •Table of Contents
- •FOREWORD TO THE REVISED EDITION.
- •Modern Economic Problems
- •PART I
- •MONEY AND PRICES
- •CHAPTER 1
- •NATURE OF ECONOMIC PROBLEMS
- •References:
- •CHAPTER 2
- •ORIGIN AND NATURE OF MONEY
- •References.
- •CHAPTER 3
- •COMMODITY MONEY AND THE QUANTITY THEORY
- •References.
- •CHAPTER 4
- •FIDUCIARY MONEY, METAL AND PAPER
- •References.
- •CHAPTER 5
- •PRICE LEVELS AND THE GOLD STANDARD
- •References.
- •CHAPTER 6
- •RISING PRICES AND THE STANDARD
- •References.
- •PART II
- •BANKING AND INSURANCE
- •CHAPTER 7
- •THE FUNCTIONS OF BANKS
- •References.
- •CHAPTER 8
- •BANKING IN THE UNITED STATES BEFORE 1914
- •References.
- •CHAPTER 9
- •THE FEDERAL RESERVE ACT
- •References.
- •CHAPTER 10
- •CRISES AND INDUSTRIAL DEPRESSIONS
- •References.
- •CHAPTER 11
- •INSTITUTIONS FOR SAVING AND INVESTMENT
- •References.
- •CHAPTER 12
- •PRINCIPLES OF INSURANCE
- •References.
- •CHAPTER 13
- •SCIENTIFIC LIFE INSURANCE
- •References.
- •PART III
- •TARIFF AND TAXATION
- •CHAPTER 14
- •AMERICAN TARIFF HISTORY
- •References.
- •CHAPTER 15
- •INTERNATIONAL TRADE
- •References.
- •CHAPTER 16
- •THE POLICY OF A PROTECTIVE TARIFF
- •References.
- •CHAPTER 17
- •OBJECTS AND PRINCIPLES OF TAXATION
- •References.
- •CHAPTER 18
- •PROPERTY AND CORPORATION TAXES
- •References.
- •CHAPTER 19
- •PERSONAL TAXES
- •References.
- •PART IV
- •WAGES AND LABOR
- •CHAPTER 20
- •METHODS OF INDUSTRIAL REMUNERATION
- •References.
- •CHAPTER 21
- •ORGANIZED LABOR
- •References.
- •CHAPTER 22
- •PUBLIC REGULATION OF HOURS AND WAGES
- •References.
- •CHAPTER 23
- •OTHER PROTECTIVE LABOR AND SOCIAL LEGISLATION
- •References.
- •CHAPTER 24
- •SOCIAL INSURANCE
- •Accident Insurance
- •Old-Age and Invalidity Pensions
- •Health Insurance
- •References.
- •CHAPTER 25
- •POPULATION AND IMMIGRATION
- •References.
- •PART V
- •PUBLIC POLICY TOWARD PRIVATE INDUSTRY
- •CHAPTER 26
- •AGRICULTURAL AND RURAL POPULATION
- •References.
- •CHAPTER 27
- •PROBLEMS OF AGRICULTURAL ECONOMICS
- •References.
- •CHAPTER 28
- •THE TRANSPORTATION PROBLEM
- •References.
- •CHAPTER 29
- •RAILROAD REGULATION
- •References.
- •CHAPTER 30
- •THE PROBLEM OF INDUSTRIAL MONOPOLY
- •References.
- •CHAPTER 31
- •PUBLIC POLICY IN RESPECT TO MONOPOLY
- •References.
- •PART VI
- •PRIVATE PROPERTY VERSUS SOCIALISM
- •CHAPTER 32
- •THE PRESENT ECONOMIC SYSTEM
- •References.
- •CHAPTER 33
- •PUBLIC OWNERSHIP
- •References.
- •CHAPTER 34
- •METHODS OF DISTRIBUTION
- •References.
- •CHAPTER 35
- •SOCIALISM, PRESENT AND FUTURE
- •References.
Online Library of Liberty: Economics, vol. 2: Modern Economic Problems
kept artificially lower through an unsound use of government control over banking policy. The results were speculation, inflation of prices, and eventual disillusionment and loss to investors and to large numbers of other citizens.
§ 14. Future of the Federal Reserve system. The Federal Reserve system rendered valuable service during the war, and was a stabilizing influence in the period of industrial depression that began midway in 1920. While there has been enormous shrinkage in prices, in valuations of goods in stock, in securities, and in “paper profits,” and inevitable loss to many investors and business men, the “retreat” has been more orderly than in previous financial crises, and at no time has the banking system as a whole been anywhere near danger of collapse, as in former crises. The Federal Reserve banks have become an indispensable part of our banking system. Probably valuable lessons have been learned from the wartime experience. It is probable that the use of the rediscount privilege will, in normal times, not be extended to the limit, as in 1919 and 1920, but will be kept in large part in reserve for emergencies. This would result in smaller earning assets and earnings for the Federal Reserve banks, and would make the recent figures in these respects appear abnormal, and not to be expected regularly. Altogether, as a piece of financial machinery, the Federal Reserve system has been a demonstrated success, and doubtless is capable of beneficial development. However, the possibility of political interference with banking policy is apparent, and might become a grave danger to the whole financial situation.
References.
Federal Reserve Board, The Federal Reserve Bulletin. Monthly. Kemmerer, E. W., The A B C of the federal reserve system. Princeton. Pp. 192. Princeton University Press. 3d ed. 1919.
Phillips, C. A., Readings in money and banking. Ch. XXXI. N. Y. Macmillan. 1916.
White, Horace, Money and banking illustrated by American History. Bost. Ginn. 1914. Bk. III. Ch. XXII and appendices D and E.
Willis, H. P., The Federal Reserve Act. A. E. Rev., 4: 1-24. 1914.
PLL v4 (generated January 6, 2009) |
83 |
http://oll.libertyfund.org/title/2008 |