The National Credit Corporation was an organization created in 1931 in the United States by the Hoover administration to try to stop bank failure stemming from the Great Depression. The Corporation attempted to convince large surviving banks to loan money to failing banks as a solution to bank runs
The purpose of the <em>National Credit Corporation </em>was to <em>stop the bank failure issures coming from the Great Depression.</em>
Explanation:
The<em> National Credit Corporation</em>, created in 1931 by the <em>Hoover administration</em>, was aimed to convince the surving functioning banks to<em> loan money to those banks that were not able to survive the economic and financial crisis</em>. This lending of money was not a feasible idea for the surviving banks, as there was no certainty the borrowing banks would later repay the loans.
Government Response to the Great Depression. ... Widespread unemployment during the 1930s exacerbated an already difficult situation by forcing the government to spend millions of dollars on various relief programs. Most, however, were ineffective.
