Polk County observer. (Monmouth, Polk County, Or.) 1888-1927, 1913-12-30
RESERVE BANK POWERS.
Principal FEresiczz Ct tks Ne~ Re-
r5-rzl ErsSlsutic1s-

hanks deposits OF current funds in
lawful money. nztionaI hank notes or
cheeks ami drafts upon solvent mem
he- Or Other federal reserve banks
parable upon presentation
Upon The Endorsement Of any OF its
uezber banks. with = waiver Of de-
uAud uo-ice and protest by such bank.
any federal reserve hank may dis
o1uur notes. drafts and bills Of ex-
change arising out Of actual CONNER
T ciaI transg eti1nS--Ihar Is notes. drafts
and bills o. exchange issued or drawn
+ for agricultural Industrial or CONNER
E cal purposes or the proceeds Of which
have been used or are 10 be used for
Such purposes the federal reserve
I buarf 70 have the right 10 determine
o. define the character Of the paper
/ rhns eligible for discount within the
meaning Of this act Nothing in this
( act contained shall be construed 10
+ prohibit such notes. drafts and bills of
ezchanE- securel by staple agricul-
tu-zi products or cther goods. wares
- ulercEandiSe from being eligible for
such discount but such definition shall
mt ia-lude notes drafts or bills Gov
erinz merely investments ~ i--ued or
. drawn for the purpr-se OF carrying or
trading in stocks. bonds ur other in
vet1ent securities except bonds and
uo-eS Of tie government Of the United
States Notes. drafts and bis admit
ted u discount under the ter~.s Of this
: paragraph must have maturity at
the tine Of discount II not more than
ninety Eavs- provided th-f notes.
drafts and bills drawn or issEed for
agricultural purposes or based on live
stock and having 4 maturity not ex-
cee1inZ SIX months may be discounted
n an amount 10 be limited to a per-
ce1tzce q the capital Of the federal
-sse-ve hank to be ascertsined and /.
5T=i b. the federal reserve board.
Dissenting soeeptances.
Any federal reserve bank may dis I
e1-1- sccey-auces which are based on 4
lie importation OF expectation or do 4
uzst5c shipment Of goods and which .
have 4 maturity at tine Of discount OF /
zo- more than three months and in
t0rse-I by aI least one member bank i
T4e 2U01lt Of aeceptances so dis 4
counted shall az 10 tine exceed one
hzlf the gail Up capital stock and sur
p.-s u the bank for which the re-
Discount, are u-zde.
T1e a-<-e-ate Of such notes and
bills bearing lie signature or indOrse-
Ue-- u ans 1le person company or
ErE OF -1eTor4 Iinl rediScOunted for
any OF. hank shall az 10 tine exceed
. per e=lrun Of the UnimpaireI capi-
II -2Li surplus Of said bank. but this
-ss-r1eCio1 shah not apply TO the dis
1oEnr q ills Of exchange drawn in
ggod faith against actually existing
values.
Any U=mber bank may accept drafts
u bills q exchange drawn upon il
i1d growing 0u- Of transactions in
F5lTi1g the importation or expectation
q goods having Lot more than six
months sight 10 FUn- but 10 bank shall
IccsgC sCzh bills 10 an amount equal
II any tine IN the aggregate to more
-han oue-haf Of its paid up capital
sr8ck and s1rplus-
cpen Market Operations
Se-- Il Any federal reserve bank
ray. C-ter rules and regulations pre-
Bc-ibe.t by the federal reserve board.
l1rchzse and sell in the open market
L E01e Or abroad. either from or TO
louestic or foreign banks. firms. cor
lo-ati1us o. individuals. cable trans
e-s and bankers acceptances and
lis Of exchange Of the kinds and ma
urities By this act made eligible for
eiiscount with or without the indorse-
1ent Of a member bank
Every federal reserve bank shall
ave power
(ai To deal in gold coin and bullion
( home or abroad. TO make loans
hsreon- exchange federal reserve
lotes for gold. gold coin or gold GER
ifcates and 10 contract for loans Of
old coin or bullion. giving therefor.
Then necessary, acceptable security.
the hypothecation of United
tates bonds or other securities which
ederzl reserve banks are authorized
0 hold: I
tbl To buy and sell at home or abroad J
onds and notes Of the United States
I'd bills notes. revenue bonds and |
with a maturity from date
{ purchasing Of not exceeding six ;
lonths- issued in anticipation Of the
election OF taxes or in anticipation Of
le receipt Of assured revenues by any
tate. county. district political subdi-
ision Or municipality in the CONT :
ental United States. ineludin- irriga- :
On drainage and reclamation dis
-1cts- such purchases TO BE- made in
ceordarcs with rules and regulations :
rsscribed By the federal reserve :
card.
tei To purchase from member banks d,
ID to sell with or without its in a
1rsemeut bills of exchange arising :
II Of eomme-cial transactions as =
defined: =
ID To establish from tine 10 time. ! :
ibject 70 review and determination )
tne federal rsserve board rates Of Al
seouut to Be charged By the federal a
serve bank for each riasS o. uaper. c,
hieh shall be 6Ied with = view Of ar- al
lmuodstinS couurr-. and buSiu-Ss 2
isi To establish acc-suuf- with o-he- q
-1erll reserve bank fur exchsr-s q
lrTsrss-s and with th,- s,s-.~ent Of -. D.
.deral reserve baard o. easn -Hi
aiutain banking acrOuu,S IN fo-.i-n Of
appoint cOr1~f-audeuts and q
Itablish sgencies in such countries N