The federal reserve act gave the federal reserve board the authority to

Issue paper money and increase or decrease the amount of money in circulation by altering interest rates

Explanation:

The Federal Reserve Act 1913 was the act created by the Congress in the U. S. legislation. The act was formed to create the economic stability by making the central bank as an overseer of monetary policies of the U. S.

The act was signed by President Woodrow Wilson into the law. Under this act, 12 Federal banks were given authority to print or issue the paper money, to alter the discount rates, the Fed Fund rates. This law also gave the authority to the Federal reserve boards to buy and sell the U. S. treasuries.