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Alex17521 [72]
3 years ago
11

Which of the following was created by the Banking Act of 1933? A. Social Security B. unemployment insurance C. Federal Deposit I

nsurance Corporation D. balanced federal budget
History
2 answers:
zavuch27 [327]3 years ago
7 0
The FDIC orFederal Deposit Insurance Corporation, was created by the Banking Act of 1933 to protect banks and customers by insuring their money
kenny6666 [7]3 years ago
6 0

The answer is <u>C. Federal Deposit Insurance Corporation </u>

In the early 1930s, almost 1/3 of American banks had collapsed and failed, and American consumers had lost trust in the banking system. As a response to this, Franklin Roosevelt's administration created the Banking Act of 1933.

The legislation separated commercial banking from investment banking, redeemed the failed banks (by limiting their operation and installing a conservator to take over bookkeeping), gave the treasury secretary the power to determine which banks were in need of financial assistance, and to give them loans, among others aims, and formed the FDIC, with the purpose to provide stability to the U.S.'s economy and strengthen American confidence in the banking system again.

<u>The Federal Deposit Insurance Corporation</u> provided deposit insurance to depositors in U.S. commercial banks and savings institutions, in case that a bank failed, and regulated some banking practices.

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