THE GREAT DEPRESSION 1929 1940
THE GREAT DEPRESSION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Bank Crisis
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Black Tuesday
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Stock Market Crash
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New Deal
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Detailed explanation-1: -Nearly all banks in the United States are FDIC-insured, which means even if a bank were to fail, your money is protected. The FDIC insures each bank account up to $250, 000 per depositor per account.
Detailed explanation-2: -A bank run occurs when large groups of depositors withdraw their money from banks simultaneously based on fears that the institution will become insolvent. With more people withdrawing money, banks will use up their cash reserves and ultimately end up defaulting.
Detailed explanation-3: -People rushing to withdraw their money from banks caused many bank failures in the United States and elsewhere in 1930–33, decreasing the amount of money available for loans. Also, people who had taken out loans were unable to pay back the banks. Encyclopædia Britannica, Inc.