Roy A. Young
Encyclopedia
Roy Archibald Young was a U.S. banker. Most significantly, he was chairman of the Federal Reserve Board between 1927 and 1930 during the presidencies of Calvin Coolidge
and Herbert Hoover
. During his tenure as chairman of the Federal Reserve Board, the 1929 Stock Market Crash
occurred and the United States went into an economic depression. He also was president of the Federal Reserve Bank
s in Minneapolis
(1919-1927) and Boston
(1930-1942).
Young was a messenger for a bank at the age of eight. He then worked as assistant cashier and joined the Citizens National Bank
as vice president in 1913.
From 1919 to 1927 he was president of the Federal Reserve Bank of Minneapolis before becoming chairman of the of the Federal Reserve Board. From 1930 to 1942 he served as president of the Federal Reserve Bank of Boston. After his resignation, he changed to become chairman of the Merchants National Bank
and later chairman of American Woolen Company
.
During his term in office as chairman of the Federal Reserve Board there was confrontation between the Federal Reserve Board and the Federal Reserve Bank of New York
under George L. Harrison
of how to curb speculation that led inter alia to the stock market boom of the late 1920s. The Board was in favor of putting "direct pressure" on the lending member banks while the Federal Reserve Bank of New York wanted to raise the discount rate
. The Board under Young disapproved this step, however Young himself was not fully convinced that the policy of using pressure would work and refused to sign the 1929 Annual Report of the Board because it contained parts favorable to this policy.
Calvin Coolidge
John Calvin Coolidge, Jr. was the 30th President of the United States . A Republican lawyer from Vermont, Coolidge worked his way up the ladder of Massachusetts state politics, eventually becoming governor of that state...
and Herbert Hoover
Herbert Hoover
Herbert Clark Hoover was the 31st President of the United States . Hoover was originally a professional mining engineer and author. As the United States Secretary of Commerce in the 1920s under Presidents Warren Harding and Calvin Coolidge, he promoted partnerships between government and business...
. During his tenure as chairman of the Federal Reserve Board, the 1929 Stock Market Crash
Stock market crash
A stock market crash is a sudden dramatic decline of stock prices across a significant cross-section of a stock market, resulting in a significant loss of paper wealth. Crashes are driven by panic as much as by underlying economic factors...
occurred and the United States went into an economic depression. He also was president of the Federal Reserve Bank
Federal Reserve Bank
The twelve Federal Reserve Banks form a major part of the Federal Reserve System, the central banking system of the United States. The twelve federal reserve banks together divide the nation into twelve Federal Reserve Districts, the twelve banking districts created by the Federal Reserve Act of...
s in Minneapolis
Federal Reserve Bank of Minneapolis
The Federal Reserve Bank of Minneapolis, located in Minneapolis, Minnesota, in the United States, covers the 9th District of the Federal Reserve, including Minnesota, Montana, North and South Dakota, northwestern Wisconsin, and the Upper Peninsula of Michigan...
(1919-1927) and Boston
Federal Reserve Bank of Boston
The Federal Reserve Bank of Boston, commonly known as the Boston Fed, is responsible for the First District of the Federal Reserve, which covers most of Connecticut , Massachusetts, Maine, New Hampshire, Rhode Island and Vermont. It is headquartered in the Federal Reserve Bank Building in Boston,...
(1930-1942).
Young was a messenger for a bank at the age of eight. He then worked as assistant cashier and joined the Citizens National Bank
Citizens National Bank
-Banks:* Citizens National Bank , a bank headquartered in Paintsville, Kentucky* Citizens National Bank, founded 1851, acquired by Chemical Bank in 1920-Buildings:...
as vice president in 1913.
From 1919 to 1927 he was president of the Federal Reserve Bank of Minneapolis before becoming chairman of the of the Federal Reserve Board. From 1930 to 1942 he served as president of the Federal Reserve Bank of Boston. After his resignation, he changed to become chairman of the Merchants National Bank
Merchants National Bank
Merchants National Bank can refer to several buildings:*Merchants National Bank of Sacramento in Sacramento, California* Merchants National Bank in New York City*Merchants' National Bank in Grinnell, Iowa...
and later chairman of American Woolen Company
American Woolen Company
The American Woolen Company was established in 1899 under the leadership of William M. Wood and his father-in-law Frederick Ayer through the consolidation of eight financially troubled New England woolen mills. At the company's height in the 1920s, it owned and operated 60 woolen mills across New...
.
During his term in office as chairman of the Federal Reserve Board there was confrontation between the Federal Reserve Board and the Federal Reserve Bank of New York
Federal Reserve Bank of New York
The Federal Reserve Bank of New York is one of the 12 Federal Reserve Banks of the United States. It is located at 33 Liberty Street, New York, NY. It is responsible for the Second District of the Federal Reserve System, which encompasses New York state, the 12 northern counties of New Jersey,...
under George L. Harrison
George L. Harrison
George Leslie Harrison was an American banker, insurance executive and advisor to Secretary of War Henry L. Stimson during World War II....
of how to curb speculation that led inter alia to the stock market boom of the late 1920s. The Board was in favor of putting "direct pressure" on the lending member banks while the Federal Reserve Bank of New York wanted to raise the discount rate
Discount rate
The discount rate can mean*an interest rate a central bank charges depository institutions that borrow reserves from it, for example for the use of the Federal Reserve's discount window....
. The Board under Young disapproved this step, however Young himself was not fully convinced that the policy of using pressure would work and refused to sign the 1929 Annual Report of the Board because it contained parts favorable to this policy.