The Federal

Reserve Bank
of New York
 About the Federal Reserve System
In short, the Federal Reserve System is
a central banking system
which has 3 main parts: 1. The Federal
Reserve Board of Governors 2. The 12 Federal
Reserve Banks 3. The Federal Open
Market Committee (FOMC).
-federalreserve.gov
 What is a Federal Reserve Bank?
A Federal
Reserve Bank is a
cog in the Federal
Reserve System,
based in one of the
12 outlined Federal
Reserve Districts.
-federalreserve.gov
What do Federal Reserve Banks do?
Federal Reserve Banks are often called the
"bankers' banks" because they distribute
currency and coin to banks, lend money to
banks, and process electronic
payments. They maintain accounts for the
U.S. Treasury, process government checks,
and conduct government securities
auctions. They also conduct research on
the regional, national, and international
economies. -stlouisfed.org
 New York city census information
• The
zip code for the Federal Reserve Bank of New
York is 10045
• New York city population in 2016 ~ 8,537,673
• Median household income in 2016 ~ $58,856
• Median family income in 2016 ~ $65,440
• Per capita income in 2016 ~ $35,508
-factfinder.census.gov
 New York city census info cont.
(for population 25 years and older)
• Less than a high school diploma ~ 18.5%
• High school diploma or equivalent ~ 24.1%
• Some college or associate's degree ~ 20.4%
• Bachelor's degree ~ 21.5%
• Graduate or professional degree ~ 15.5%
-factfinder.census.gov
 New York city census info cont.
(of total population)

• Hispanic or Latino ~ 29.2%

• White ~ 31.8%
• Black or African American ~ 22%
• American Indian and Alaskan Native ~ 1%
• Asian ~ 14%
 The Federal Reserve Bank of
New York
The bank opened its doors for the first time on
November 16, 1914 after President
Woodrow Wilson signed The Federal Reserve Act
of 1913 into law on December 23, 1913. Located
in the 2nd District, the bank covers New York State,
twelve counties in northern New Jersey, Fairfield
County in Connecticut, Puerto Rico, and the Virgin
Islands.
-newyorkfed.org and richmondfed.org
 The Federal Reserve Bank of New
York during The Great Recession
The Federal Reserve Bank of New York was at the
heart of The Great Recession. Located just a
few miles away from Wall Street, the bank was at
the center of it all. Because of this, the bank was a
sort of a "first response team," headed by, at the
time, the president of the New York Fed, Tim
Geithner. Bear Stearns was the first large financial
institution to begin failing.
-Money, Power, Wall Street (pbs.org)
 The Federal Reserve Bank of New
York during The Great Recession cont.
Geithner informed the then chairman of the Federal
Reserve, Ben Bernanke, of the potential failure
of Bear Stearns. The two came to
the conclusion that Bear Stearns was "too big to
fail," and thus, made the decision to
give JPMorgan $30,000,000,000 to essentially
purchase Bear Stearns so that it wouldn't fail. By
doing so, the Fed set an example to the rest of Wall
Street that if an institution is very large and having
 The Federal Reserve Bank of New York
during The Great Recession cont.
financial issues, the Fed would step in and supply money so
that the institution would not go under. This example set to
the rest of the financial world, had major effects. The
biggest of which was that financial institutions began to
believe that since the Fed would step in and give them
money, there was no need to worry or change what they
were doing. However, when it was decided to let Lehman
Brothers fail, Wall Street panicked. This confusion between
whether the Fed would step in or not ultimately played a
major role in the crisis. Starting at the ideas of the, at the
time, president of the New York Fed, but ending at the
wallets of the American taxpayer. -Money, Power, Wall Street (pbs.org)