Two specific pre-Fed regulations—the lack of branch banking (forcing single-office unit banks) and heavy restrictions on banks' ability to issue currency—caused much of the financial chaos that later served as the rationale for creating the Fed.

causalpending

Speaker

George Selgin

Evidence Quote

“those two regulations alone created all kinds of trouble with the pre fed monetary system and I think can largely take the blame for the crises that ultimately served as a rationale for the feds establishment”

Source

George Selgin on Free Banking 11/17/2008— EconTalk
Created: 6/15/2026, 9:20:23 AM

My Notes

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