YOur Opionon!!?

Question

how the stock market crash caused the banks to fail and what efforts were taken to rescue the banks. What would you say about this...

Answer 1

banks have investments in the stock market, to try and up their profits. when the stock market crashed, they lost a lot of money and did not have the $ to pay the people who had deposited with them. Roosevelt had a bunch of legislation to help this, and I forgot what this specific one was called, but its the reason that all banks have the "FDIC" logo (stands for federal deposit insurance corporation) which means even if a bank fails, the federal gov't will guarantee you wont lose your $$

hope it helped

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