Criticism
Controversy about the Federal Reserve Act and the establishment of the Federal Reserve System has existed since prior to its passage. Some of the questions raised include: whether Congress has the Constitutional power to delegate its power to coin money or issue paper money, whether the Federal Reserve is a public cartel of private banks (also called a banking cartel) established to protect powerful financial interests, and whether the Federal Reserve's actions increased the severity of the Great Depression in the 1930s (and/or the severity or frequency of other boom-bust economic cycles, such as the late-2000s recession).
Allegations that the Act was passed while most of Congress was away for Christmas on December 23 are not supported by the legislative history: The house passed the bill 298-60 with 76 not voting, while the Senate passed it 43-25 with 27 not voting, showing 70%-80% participation before accounting for announced pairs.
Read more about this topic: Federal Reserve Act
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“In criticism I will be bold, and as sternly, absolutely just with friend and foe. From this purpose nothing shall turn me.”
—Edgar Allan Poe (1809–1845)
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—Ralph Waldo Emerson (1803–1882)
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—Richard Holt Hutton (1826–1897)