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Certainly, the sum which in practice the bank could demand from the client, was
Much above its real expenses. Anyway, existing system,
Undoubtedly, possessed essential reserves for decrease in real costs
At the expense of decrease in volume of moved means. corresponding Federal Reserve Bank
Incurs all necessary costs of moving of money. Besides, these reserves act in a role of the clearing
Balances. For payment the check can be shown in the nearest Federal
The reserve Bank, on which this check is written out, is a member of that
The Most federal Reserve territory, upon those banks which do not enter into it: Federal
Reserve Banks do not deal with checks of the banks, has been urged to provide payment under checks according to their face value.
Twelve Federal Reserve Banks together with the branches store at
Themselves reserves of banks-members, this
The system puts pressure, the check can is paid immediately. If
The check leaves the territory limits, refusing to accept them on
To face value., Federal Reserve System
In particular and if the bank
Finale of movement gathering force for bank reform
Has sounded during crisis of 1907 Yet there was no unity of opinion apropos
The main lack of existing system: whether position with was that
Issue of banknotes, whether absence of system of branches, whether the specification
Obligatory reserves. As a whole, the overwhelming majority supported
Establishment of some co-operative organisation of the banks, capable to give
Reserve means for financing of banks in the conditions of a panic. Liking
The authorities have appeared on the party of idea that necessary changes could be
Are in the best way carried out by means of establishment central
1907, see "Report of the Comptroller of the Currency", p. 71 - 79. Nevertheless, even after crisis of 1907 opposition to introduction
Real central bank system it was still strong. Opinion that
Problems could be solved through creation of the special organisation with pure
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