1. OGT Review Two
2011

2. The Federal Reserve System

3. History
1800s: People lost faith in the banking system. (Panics and Depressions)
Paper money could be printed by states, cities, and private businesses.
Federal Reserve Act (1913): created a safer and more stable monetary and banking system

4. Structure It is a “decentralized central bank.”
Both private and public elements are at work.
Board of Governors of the Federal Reserve is a government agency.
12 Federal Reserve Banks represent the private component of the Fed.

6. Monetary Policy The primary focus is price stability.
Regulates the amount of money and credit in the economy (through interest/discount rate).

7. Financial Services The Fed is the “bankers’ bank.”
Provides banks with currency and coin.
Processes checks and electronic payments.
Encourages new payment technologies.

8. Bank Supervision
The Fed promotes the safety and soundness of the banking system.
Bank examiners analyze financial records, risk, and compliance.

9. The Fed Today
Write new banking laws and incorporate technologies as needed.
New democratic governments have used the Fed as a model.

10. Industrialization
Industrial Revolution started in the textile industry in Great Britain and spread to the U.S. and other nations.

11. What were the effects of industrialization?
More people engaged in manufacturing
Demand for more factory workers
Rural to urban migrations and growth of cities
Emigration from Europe
More good available at lower costs
Improved standard of living
Increased trade
Men, women, and children working long hours for low wages
Working and living in unhealthy conditions
Rise of labor unions
Monopolies and trusts
Reform movements to combat abuses (ex.: Progressivism)

12. Immigration

13. Immigration and Movement of People
Why do people move?
Economic opportunity
Political freedom
Religious freedom
Economic development, population growth, and environmental change have resulted in more people living in urban areas.
Suburbanization
Examples:
Irish to America as a result of the potato famine in Ireland
Immigrants from all over the world to America
Refugees from wars
African-Americans moving from the South to the North in the early 1900s (The Great Migration)
Moving from the North and East to the South and West in latter party of the 20th century (from the rust belt to the sun belt)

14. Different Cultural Perspectives
People from different cultural groups often view the same event in different ways
Creation of the state of Israel
Partition of India and Pakistan (Hindus and Muslims)
Reunification of Germany
End of apartheid in South Africa

15. Different Cultural Perspectives Lead to Political Action Groups
NAACP (National Association for the Advancement of Colored People)
NOW (National Organization for Women)
AIM (American Indian Movement)
United Farm Workers

16. Consequences of Oppression, Discrimination, and Conflict
Exploitation of indigenous peoples in areas ruled by other nations
Genocide during the Holocaust and in Armenia, Rwanda, Bosnia, and Iraq
Discrimination based on race in the U.S. (Jim Crow laws) and in South Africa (apartheid)

17. Exchanges of Cultural Practices
Words from one language being incorporated in another language
Sporting events
Food
Music
Clothing Styles
Television programs and movies
Online chatting and ing
Medical practices (ex: acupuncture)