WI - no US Federal Reserve until WW2

The point was raised John Fredrick Parker on another thread that I posted that without the San Francisco earthquake, there probably wouldn't be a Federal Reserve either.
https://www.alternatehistory.com/discussion/showthread.php?t=159154

You're creating some major butterflies here -- for example, the Panic of 1907 was largely a result of the 1906 earthquake; the response to it in turn led to the creation of the Federal Reserve.

And that's just off the top of my head...

Okay, so does anyone know what the most likely consequences of this would be? The US Federal Reserve wasn't created until several years after the Panic of 1907, would it even be created at all? Would the Great Depression have happened?

I did a search about the Reserve in this forum, but there wasn't much there. Nobody previously appears to have asked the question.
 
Would the Great Depression have happened?

Flame war alert -- while I won't get into whether both sides are considered serious economic arguments, but, at the very least, there is a vicious ideological argument on whether the Fed was a necessary precondition for the GD, and whether it's existence made things better or worse.

Just warning you.
 
oh god this is a troll bait post

Not intentionally I assure you, and people can debate without getting silly about it.

It's a serious question, but I'm wondering whether anyone here is knowledgeable enough to bring some useful facts - either way. Such a POD could have serious repercussions on WW2. Personally, I don't believe it's possible to avoid having a US Federal Reserve being created at some point, but the WHEN and the result of that WHEN is interesting.
 
It could certainly be delayed. Iirc, Speaker Champ Clark was agaisnt the idea in 1913, and he could easily have been President.
 
Flame war alert -- while I won't get into whether both sides are considered serious economic arguments, but, at the very least, there is a vicious ideological argument on whether the Fed was a necessary precondition for the GD, and whether it's existence made things better or worse.

Just warning you.

You are absolutely right.

I would counsel Raygun to post his ATL first rather than discuss the merits of the Federal Reserve.
 
You are absolutely right.

I would counsel Raygun to post his ATL first rather than discuss the merits of the Federal Reserve.

I already linked to the main question that led to this

I don't care about the "merits" of the Federal Reserve, I care about what the effect would be if there wasn't one until WW2

read my first post again
 
I already linked to the main question that led to this

I don't care about the "merits" of the Federal Reserve, I care about what the effect would be if there wasn't one until WW2

read my first post again

You know what Raygun, I did read your first post again and I'll still tell you the same thing. Create an ATL where the Federal Reserve and post it. Figure out or suggest the results of it not being around. Nobody knows 'what the most likely consequences of this would will be' - it's just sheer speculation since all economic schools of thought believe they have the answer.
 
You know what Raygun, I did read your first post again and I'll still tell you the same thing. Create an ATL where the Federal Reserve and post it.

It's already there, but here it is again and perhaps more clearly

NO San Francisco Earthquake in 1906

Therefore NO panic of 1907

(i've been told that without the Earthquake, and therefore the following panic of 1907, there would be no Federal reserve)

1936 San Francisco Earthquake occurs

Stockmarket/financial panic of 1937 (just following the same sequence of events but delayed)

1939 WW2 begins

So if there is NO Federal Reserve until WW2, what's the result on the USA's economy and military? If it starts on the same delay, then that implies a Federal Reserve being created in possibly 1942.

Figure out or suggest the results of it not being around.

I honestly haven't got a clue what the result of it not being around until then, but it seems rather important to consider.

It might make very little difference since the same bankers were making a lot of the decisions anyway.

Nobody knows 'what the most likely consequences of this would will be' - it's just sheer speculation since all economic schools of thought believe they have the answer.

There's a start then. Best and Worst case scenarios.

Would they even create a Federal Reserve during WW2? How would it's existence/non-existence affect Lend Lease, GI loans, etc....? What about the USA's military strength on the eve of war?
 

Typo

Banned
I don't care about the "merits" of the Federal Reserve, I care about what the effect would be if there wasn't one until WW2
Ummm...the two effects of an institution cannot be divorced from its merits or lack of thereof?

It might make very little difference since the same bankers were making a lot of the decisions anyway.
Do you understand what the federal reserve does exactly?
 
I think the link between the 1906 earthquake and the Panic of 1907 is just one of a series events that caused the latter. The entry in Wikipedia certainly gives an idea of the other things, a lot of which have nothing to do with San Francisco.
 
I think the link between the 1906 earthquake and the Panic of 1907 is just one of a series events that caused the latter. The entry in Wikipedia certainly gives an idea of the other things, a lot of which have nothing to do with San Francisco.

As I posted on the original thread where the subject came up, it seemed likely to me that the Federal Reserve would just be delayed and was going to be created regardless.

It just struck me with curiosity about whether the Federal Reserve being loooong delayed until WW2 would affect the USA war preparedness and Lend-Lease, etc....
 
Ummm...the two effects of an institution cannot be divorced from its merits or lack of thereof?

Do you understand what the federal reserve does exactly?

By the way everyone here is dodging the original question, it appears that NOBODY is sure exactly what it does.
 
No, no one is "dodging" the original question, and there are several people here who do know what the FED does/is supposed to do. It's just that your OP is based, not upon a plausable scenario, upon simple hand-wavum.
 
Stockmarket/financial panic of 1937 (just following the same sequence of events but delayed)

1939 WW2 begins

I have a big problem with this, the Great Depression helped the nazis/Hitler get into power in Germany, if the GD is delayed like you said, very probably so will the raise to power of the nazis, if they even make it in this case, in which case WW2 would certainly be posponed if it were to happen.
 
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