Which of the following was the most significant contribution of the federal reserve act of 1913 to america's economic policy?
a) the act created more locally owned banks.
b) the act allowed banks to lend more money.
c) the act increased u. s. international banking.
d) the act decreased a bank's ability to lend money.

The act allowed banks to lend more money

The Federal Reserve Act of 1913 instituted monetary policy as an instrument of control of the financial system. Through the compulsory reserve system, banks started to deposit a percentage of their loans with the Central Bank in order to guarantee the solvency of the financial system and reduce the risk of crises.

In this way, the banks had a decrease in their ability to lend money, as quoted in the fourth item (D).

It should be noted that this policy also allowed the Federal Reserve to control the interest rate charged in the banking system, bringing greater uniformity and stability in the system.

pepin the short[a] (german: pippin der kurze, french: pépin le bref, c. 714 – 24 september 768) was the king of the franks from 751 until his death. he was the first of the carolingians to become king.[b][2]

the younger son of the frankish prince charles martel and his wife rotrude, pepin's upbringing was distinguished by the ecclesiastical education he had received from the monks of st. denis. succeeding his father as the mayor of the palace in 741, pepin reigned over francia jointly with his elder brother carloman. pepin ruled in neustria, burgundy, and provence, while his brother carloman established himself in austrasia, alemannia and thuringia. the brothers were active in suppressing revolts led by the bavarians, aquitanians, saxons, and the alemanni in the early years of their reign. in 743, they ended the frankish interregnum by choosing childeric iii, who was to be the last merovingian monarch, as figurehead king of the franks.

i believe it would be capitalism