What was the federal deserve act designed to prevent?

The Federal Reserve Act, enacted in 1913, was designed to prevent financial panics and bank failures by establishing a more stable and secure banking system. It aimed to provide the nation with a flexible currency and to regulate the money supply, ensuring that banks could respond effectively to economic fluctuations. By creating the Federal Reserve System, the act sought to centralize control over monetary policy and enhance the overall resilience of the financial system.