1913: A Year That Redefined America's Government and Economy

The year 1913 marked significant changes in America's government and economy. The 16th Amendment was ratified, giving Congress authority to tax income without apportionment among states, effectively creating a pay-one-price tax system.

This change fundamentally altered the relationship between citizens and the federal government, allowing it to expand its reach into economic lives.

The 17th Amendment followed, changing the selection of U.S. senators from state legislative selection to direct election by voters, weakening states' institutional voice in Washington.

The Federal Reserve System was also created through the Federal Reserve Act on December 23, 1913, concentrating economic power in institutions removed from direct electoral control.