Those who have an appreciation of U.S. history know that the Federal Reserve played an important role in support of the funding of the First World War and that the war forced the early Federal Reserve to contend with an uncertain global environment with wide-ranging monetary and economic ramifications.
The Federal Reserve has faced many such challenges since its founding, and the System has evolved in response. Ours must be a dynamic institution if it is to successfully fulfill its mission in a changing financial and economic landscape.