Surprisingly, many people do not know the details of the U.S. Federal Reserve. S

Surprisingly, many people do not know the details of the U.S. Federal Reserve. Since Facebook has become a playground for seniors anyway, a brief explanation is as follows. It would be good to think that the Federal Reserve System (FED), the central bank of the U.S., was the result of the clash between Hamilton, who insisted on centralization of the government, and Jefferson, who prioritized decentralization.

The difference from central banks in other countries is that FED is not organized as a government agency, but rather as a stock company in which 12 federal banks in the United States hold stocks. The United States also had two central banks, but it was abolished by President Andrew Jackson, who insisted on decentralization like Jefferson in 1836. The Federal Reserve FED was created in 1907 to address the financial panic.

FED is in the form of a stock company, so there are shareholders who are permanently owned and non-transferable, but this is hidden. Everyone's guess is that economic dinosaurs at that time, such as Rothschild, Morgan, Vanderbilt, Rockefeller, and Carnegie families.

In any case, the composition of the FED has a Board of Governors consisting of seven directors. Each director's term of office is 14 years, nominated by the President and appointed with the approval of the Senate. Directors maintain political independence through a 14-year term, and one director is replaced every two years.

And the Federal Open Market Committee (FOMC), a meeting that determines interest rates, consists of a total of 12 voting members. This includes seven directors of the Federal Reserve and five governors of the Federal Reserve. The governor of the Federal Reserve Bank of New York always has the right to vote, and the other four governors of the 11 regional Federal Reserve banks rotate in an annual cycle. The term of office for the governors of each region of the United States is five years, and the governors of the Federal Reserve are appointed by the boards of directors of each bank, and must be approved by the Federal Reserve.

So this is the Federal Reserve System's summary. As you all know about the FED called the world's central bank, the FED that we're expecting to cut interest rates this September, I just nagged a little just in case. So have a nice weekend, everyone. I'm going to start writing columns for the newspaper in a dud from next week, and I'm going to be thinking about it for two days.