What notable financial institution did Woodrow Wilson create during his presidency?

• A. Federal Reserve
• B. Bank of America
• C. United States Treasury
• D. National Bank

Answer: (A)

Woodrow Wilson was instrumental in the establishment of the Federal Reserve System in 1913. This significant financial institution was created to provide the nation with a safer, more flexible, and more stable monetary and financial system. The Federal Reserve serves several critical functions, including regulating money supply, managing inflation, and acting as a lender of last resort during financial crises.

Wilson's support for the Federal Reserve Act came in response to banking panics and the need for a more robust banking system that could better respond to economic challenges. The Federal Reserve plays a vital role in the U.S. economy and monetary policy today, making its creation under Wilson’s presidency a pivotal moment in financial history. This context highlights the transformative impact Wilson had on American banking and finance, solidifying the Federal Reserve's importance in managing the country’s economy.