The Banking Act of 1935 established which permanent agency of the government?

The Banking Act of 1935 established the Federal Reserve System as a permanent agency of the government. This act significantly enhanced the authority of the Federal Reserve, allowing it to better manage monetary policy and respond to financial crises. The key purpose of the restructuring was to stabilize the banking industry and ensure a more flexible and stable monetary and financial system.

The Federal Reserve System's establishment and evolution have continued to play a critical role in regulating and overseeing banks, conducting monetary policy, and providing financial services to the U.S. government and financial institutions. Understanding the historical context and rationale behind the creation of the Federal Reserve is essential for recognizing its ongoing impact on the financial system today.