Banking on the Fed Fun Fact$ from the Fed $ Makes Our World Go Round

release dates: October 10-16 41-1 (09) Mini Spy . . . TM Mini Spy and her friends are visiting a bank vault. See if you can find: • umbrella • carrot • surfboard • word MINI • sailboat • squid • key • man in the moon • pencil • bell • heart • strawberry • kite • teapot • fish • letter E © 2009 Universal Press Syndicate • number 2 • letter L • exclamation point from The Mini Page © 2009 Universal Press Syndicate To Protect Our Economy Banking on the Fed Twelve cities were chosen The Fed is run by a as headquarters for the board of governors, or districts of the central bank: officers, headquartered in 1. Boston – A Washington, D.C. 2. New York – B Each district is represented 3. Philadelphia – C by a letter of the alphabet. Look at a $5 bill. The letter 4. Cleveland – D and number left of the 5. Richmond, Va. – E portrait (for example, B2) 6. Atlanta – F tell you where that bill came 7. Chicago – G from in the Federal Reserve 8. St. Louis – H system. 9. Minneapolis – I Other cities may have 10. Kansas City, Mo. – J Federal Reserve Bank 11. Dallas – K Branch offices. 12. San Francisco – L map courtesy of The Federal Reserve Board

What’s the Fed? Attempts at central banking Federal Reserve Act is law from The Mini Page © 2009 Universal Press Syndicate If you’ve been following the news The idea of a central bank came up In 1912, President about the U.S. economy*, you know again and again during the early days Woodrow Wilson asked TM that many Americans are going of the United States. Some wanted a Carter Glass, a U.S. Rookie Cookie’s Recipe through tough times. central bank to create one currency, representative from Pizza Pockets Some headlines mention people who or paper money in circulation, for President Virginia, and economics You’ll need: have lost their jobs or cut back on all the states. They thought it would Woodrow professor H. Parker Willis • 2 whole pita pockets Wilson • 1 (16-ounce) can chopped tomatoes, drained their spending. Your family may be help make the economy more secure. to come up with a proposal • 1 cup shredded mozzarella cheese trying to save money, too. Others feared such a bank would give for a central bank that would divide • 1 cup cooked chicken breast, chopped Some of the news is about the bankers and businesses too much its powers among different parts of • 1/2 teaspoon salt • 1/2 teaspoon pepper Federal Reserve System, often called power. the country. The Federal Reserve What to do: “the Fed.” This week, The Mini Page When panics about the stock market Act became law in 1913. It was 1. Preheat the oven to 350 degrees. explores what the Fed is and its role caused “runs” on banks by people a compromise, or settlement of 2. Cut each pita in half to make four half-circle pockets. in protecting our economy. trying to withdraw all their money, differences, between the central bank 3. In a small bowl, combine the tomatoes, cheese, chicken, salt and pepper. Mix gently. *An economy is a country’s system of officials knew that some form of that private bankers wanted and the 4. Fill each pocket with the mixture evenly. Place them on a baking producing, selling and buying goods and central control was necessary. decentralized bank that much of the sheet and cook for 8 to 10 minutes or until the cheese is melted. services. You will need an adult’s help with this recipe. public wanted. from The Mini Page © 2009 Universal Press Syndicate

from The Mini Page © 2009 Universal Press Syndicate Meet Frankie Jonas Frankie Jonas is the voice of Sosuke in the Disney movie “Ponyo.” Frankie is the Fun Fact$ From the Fed brother of the famed actors and musicians the Jonas Brothers. He appears with his $ In 1775, the Continental $ By the end of the Civil War, Lifespan of a greenback* brothers on stage. He also acts in the Congress issued paper currency. between one-third and one-half of The average life of a $1 bill is 21 Disney TV series “Jonas.” Because the notes were easily all U.S. paper money in circulation months. Can you guess the lifespans Frankie, 9, was born in Ridgewood, counterfeited, or faked, the notes was counterfeit. In 1865, the U.S. for these other denominations? Why N.J. His parents are both musicians. do you think some bills last longer His mother, Denise, is also a special lost their value. That’s where the Secret Service was created as part education teacher. His father, Kevin Sr., phrase “not worth a continental” of the Treasury Department, and than others?

photo courtesy The Disney Channel is a minister. comes from. counterfeiting was greatly reduced. (Greenback Frankie lives with his three brothers and parents in Los Today, the Secret Service also is slang Angeles. He enjoys playing football. He has his own band, protects our government leaders. for paper Hollywood Shakeup. money.) from The Mini Page © 2009 Universal Press Syndicate $ U.S. from The Mini Page © 2009 Universal Press Syndicate A. 55 months TM currency is made up of B. 18 months 25 percent Supersport: Patrick Willis $ Large denomination, or value, linen and C. 24 months Height: 6-0 Age: 24 Weight: 224 bills, such as $500, $1,000, $5,000 75 percent He’s big, strong and mobile, a helmet-rattling hitter and $10,000 bills, were printed until cotton. whom opposing NFL running backs aren’t looking D. 16 months forward to meeting this fall. Starting his third year with 1945. Those that were still circulating the San Francisco 49ers, Patrick Willis already is one of were removed in 1969. $ In 1990, the best middle linebackers in the NFL. a security

In 2007 the former University of Mississippi star made a league-leading $ When commercial banks send bill $5 D.

174 tackles and was named NFL Defensive Rookie of the Year. In 2008 he thread and microprinting were

registered a club-high 141 stops. Both seasons he was chosen to play in the extra currency to the regional Fed, introduced in $50 and $100 bills to bill $20 C. Pro Bowl. That’s why Willis gives opponents the “willies.” 15 percent of the returned bills are cut down on counterfeiting. Still, 139 bill $10 B.

At Ole Miss, he won the 2006 Butkus Award that is given annually to the destroyed because they’re worn out. bill $50 A.

top linebacker in college football. So the 49ers picked Willis — who majored in U.S. and 18 foreign counterfeiting The Kansas City Fed shreds about Answers: liberal arts and tackling (355 in his career) — 11th overall in the draft. operations were discovered that year. $4 million per day!

Willis turned out to be a hitter who puts the big punch in the 49ers’ defense. images courtesy Bureau of Engraving and Printing

$ Makes Our World Go Round All the following jokes have something in common. Can you guess the common theme or category? One way to understand what a A regional Fed Federal Reserve Bank does is to bank may have Mace: What is a robber’s favorite dance? many millions Mabel: The vaults! think of it as a “bank’s bank.” A of dollars in its reserve bank stores and distributes storage rooms, or currency and coins to commercial vaults. The money Madden: Why did the bank get bored? banks. (A commercial bank is one is organized by Mackenzie: Because it lost interest! denomination that holds accounts for the public ($1 bills stored and businesses. You may have an together, $5 bills account at a commercial bank.) together, etc.). Michelle: What game do banks enjoy? Checkers! The reserve bank also processes At the Federal Mary: checks and electronic payments, Reserve Bank of Kansas City, supervises banks in its area, and three robots, from The Mini Page © 2009 Universal Press Syndicate TM conducts research on economic named Huey, Basset Brown try ’n issues. Dewey and Louie, The News store and retrieve Hound’s Federal Reserve find Where do they get money? money. They are Words that remind us of money are hidden in the block below. Some words The Bureau of Engraving and controlled by a are hidden backward or diagonally, and some letters are used twice. See computer. if you can find: FEDERAL, RESERVE, CENTRAL, CURRENCY, BANK, Printing supplies the regional ECONOMY, REGION, COUNTERFEIT, DENOMINATION, COMMERCIAL, SECRET, GREENBACK, MINT, CASH, ROBOT, SHRED, VAULT, ONE, reserve banks with paper money. photos courtesy Federal Reserve Bank of Kansas City FIVE, TEN, DOLLAR. In the United States, our money is T I E F R E T N U O C A S H F called Federal Reserve Notes. These Cash in and out The fed E R C E N T R A L W U Q T J E are produced in either Fort Worth, is home to big R E S E R V E K C P R G O B D Commercial banks keep a certain bucks! Texas, or Washington, D.C. C G X K C A B N E E R G B V E amount of E I Y N R A L L O D E H O A R Coins come from the U.S. Mint. their money S O L T N D E R H S N J R U A The coins we use are produced in in the form Z N N K C O M M E R C I A L L Denver, Philadelphia, San Francisco of coins and F I V E E C O N O M Y W K T B M Y N N O I T A N I M O N E D and West Point, N.Y. currency. If The dime a bank needs from The Mini Page © 2009 Universal Press Syndicate shown here more money, has a small it asks the regional reserve bank to If a bank has too much cash on hand, it Ready Resources P under send it more. sends the extra to the regional Fed bank, Franklin D. where it is counted and stored. Worn-out Roosevelt’s Detailed records are kept of the currency is shredded. At the Kansas City The Mini Page provides ideas for Web sites, profile. The money coming in and going out of the reserve bank, one machine can count books or other resources that will help you learn more about 100,000 bills every hour. P means the regional Fed banks. about this week’s topics. dime was minted, or Cash: going but not gone Look through your newspaper for news On the Web: made, in Americans don’t use cash as much about the U.S. economy and the Federal image courtesy United States Mint • www.federalreserve.gov/kids Philadelphia. as we once did. Instead, we pay for Reserve. If you see a D, the coin was minted in Denver. many things electronically, with The Mini Page thanks Tim Todd of the • www.usmint.gov/kids debit and credit cards. Federal Reserve Bank of Kansas City for help with this issue. • www.moneyfactory.gov/newmoney/ main.cfm/learning/fun The Mini Page Staff Betty Debnam - Founding Editor and Editor at Large Lisa Tarry - Managing Editor Lucy Lien - Associate Editor Wendy Daley - Artist

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