In 1913, Wilson introduced the Federal Reserve System after a financial crisis. The commercial banks wanted protection, structure and assistance in the form of self-regulation. Wilson wanted the federal government to control capital. A compromise was reached and a system of twelve regional Federal Reserve Banks was to be run by the banks in that region. The seven members of the  Board of Governors, on the other hand, would be appointed by the President. Governors would also receive overlapping 14-year terms to ensure independence. Â
Wilson's colored voters were disappointed by continuing and expanding the politics of racial segregation. He included segregationists in his cabinet, allowed the black officials in ministries to be separated from the whites, and defended this policy as a rational, scientific way of reducing social friction.
Universal suffrage was one of the topics Wilson had to deal with during his presidency. Wilson himself was progressive and a supporter of universal suffrage, but he faced strong opposition on this point. In addition, World War I broke out shortly after his inauguration.
In 1915, the United States invaded Haiti under the presidency of Wilson; it would remain occupied until 1934. According to the Wilson government, this was done to thwart a German invasion: the German Empire had major economic interests in Haiti. Under the US envoy Franklin Roosevelt, the later Democratic president, a constitution was drafted and a general "corvée" was introduced, previously only imposed on the black underclass. Much has been done about the island's infrastructure, but administrative reforms have not worked out well. Disagreements with Mexican dictator Victoriano Huerta led to the American occupation of Veracruz in 1914. Under Wilson's presidency, the United States also intervened in Panama, Cuba and Nicaragua. Â
Initially, Wilson managed to keep the United States out of the world war, although he did provide material support to France and Britain. His neutrality policy led to his re-election in 1916. In 1917, the pressure to participate in the war intensified. The interception of the Zimmermann telegram, which showed that Germany wanted to mount Mexico against the US, and the torpedoes by the Germans of the passenger ship Lusitania, in the context of the unlimited submarine war, led to a declaration of war on Germany on April 6, 1917 to the other power station powers. With this, the US was decisive in favor of the Western Allies; the Russian empire had since collapsed and made a separate peace with Germany.
Wilson signed the 19th Amendment to the United States Constitution on January 9, 1918. It stated that there would be universal suffrage, including for women. Wilson previously opposed this amendment because his party was divided on it. The amendment entered into force in August 1920, after it had been ratified by Congress and two thirds of the states.
