What was the banking crisis that occured from 1929 to 1993? (Explain)?

Answer 1

I'm going to assume that you gave us the wrong dates... perhaps it was supposed to end with 1939, that would make more sense.

That would cover the banking problems of the Great Depression.

The issue was that people wanted all their money out of the banks at once, its called a "run." People lost confidence in the banking system and went, as a group, to go get their money out. The banks had invested it, so they didn't have it on hand. The banks gave out as much as they could, but their reserves quickly ran dry and they had to close their doors to the public (since they couldn't tell the people they didn't have the money).

Even worse, since the banks needed the money to give to the people, they sold stocks to get the cash back on hand. The huge sale of stocks caused the market to crash, so many of the banks couldn't get back the money they put into the market and were unable to pay back their people.

Answer 2

Have you got those dates right? That's an awfully big time span in the banking world.

That will cover :

1. The Wall Street crash of 1929
2. The Great Depression of the 1930s
3. The post World War 2 financial crises in Europe
4. "Black Monday" of 1987

There's too much here to explain in detail - try Googling for detailed info on each.

Answer 3

I don't think you have a CLUE what you are asking.. you are just hoping someone will fill in the answers because you were too lazy to read your textbook.