The Evolution of Central Banking in the U.S.

This chapter explores the historical debate over the formation of a central bank in the United States, highlighting the ideological clash between Hamilton's push for centralization and Jefferson's call for decentralization. It examines key events impacting central banking, such as Andrew Jackson's opposition and the establishment of the Federal Reserve, while offering insights into the institution's leadership during crises like the Great Depression and the COVID-19 pandemic. Additionally, the chapter critiques the Federal Reserve's monetary policy processes, decision-making, and communication strategies, underscoring the interplay between political influences and market dynamics.