The Fed was created to combat runs on the bank. When bank runs occurred, banks shut down and businesses laid off workers because they could no longer borrow money from the bank. This lead to more people running to the bank, repeating the terrible cycle. The Fed is able to back banks up, so if they do have bank runs, they can go to the Fed to bail themselves out. It was created in secret because people at the time didn't like central banks, which is what the Fed is.
This is really good. You did a good job explaining that since people did not like the idea of a central bank, the FED was made in secret.
Very good response Shiloh! Yes the FED was created in secret and they even had to dress up as duck hunters because people back then did not like the idea of a central bank let alone banks in general.