Emergency Banking Act Of 1933

Definition

Federal bill passed following the Great Depression requiring a four-day closing of US banks. The Act allows Congress to examine banking conditions, and requires authorities to determine which institutions must close and which may be reorganized to remain solvent. The Act is intended to prevent massive fund withdrawals (called a "run on the bank") during crisis periods of low consumer and investor confidence.

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I learned about the emergency banking act of 1933 and was really interested in it and what happened after it was created.

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You should read up on what went down with the emergency banking act of 1933 and see if there is anything to learn from it.

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As a part of economic reform following the Great Depression, the Emergency Banking Act of 1933 closed US banks briefly to prevent huge withdrawals and examine the situation more closely.

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