Aldrich Plan

E649325

The Aldrich Plan was an early 20th-century proposal for a centralized U.S. banking system that served as a key precursor to the creation of the Federal Reserve System.

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Aldrich Plan canonical 2

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Statements (46)

Predicate Object
instanceOf banking reform proposal
monetary reform plan
aimedTo create a centralized U.S. banking system
appliesToJurisdiction United States federal government
country United States
criticizedFor insufficient public control
perceived domination by private bankers
describedIn reports of the National Monetary Commission
draftedBy National Monetary Commission
field banking regulation
monetary policy
followedBy Federal Reserve Act
genre economic policy proposal
hasEffectOn design of U.S. central banking framework
hasPart proposal for a National Reserve Association
historicalSignificance key precursor to the creation of the Federal Reserve System
inception 1910
early 20th century
influenced Federal Reserve Act of 1913
influencedAspectOf regional structure of the Federal Reserve System
role of a central reserve institution in the U.S.
influencedBy European central banking models
legislativeBodyConsideredBy United States Congress
legislativeOutcome not enacted as originally proposed
locationOfDrafting Jekyll Island, Georgia
linked to: Jekyll Island
mainSubject banking system reform
central banking
motivation address weaknesses revealed by the Panic of 1907
prevent future financial panics
namedAfter Nelson W. Aldrich
opposedBy Democratic Party leaders
Progressive reformers
precursorOf Federal Reserve System
proposedBy Nelson W. Aldrich
proposedFunction act as lender of last resort
hold bank reserves
provide an elastic currency
rediscount commercial paper
proposedOrganization National Reserve Association
proposedStructure centralized reserve association with regional branches
relatedToEvent Panic of 1907
supportedBy Wall Street financial interests
large commercial banks
timePeriod Progressive Era
topic currency reform
financial stability

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Referenced by (2)

Full triples — surface form annotated when it differs from this entity's canonical label.