Bank Closures
Idali, Melissa, Jackie, & Sravani
Birdie Farr
Introduction to the Failure of Banks
History of the Beginning of Bank Closures
Gresham, Nebraska in 1933
This picture was taken outside a local bank which closed in Gresham, Nebraska in 1933.There are people looking around the bank confused as to what was happening and where all their money had gone.
Peoples’ Wayne County Bank in Detroit
This picture is taken at the Peoples’ Wayne County Bank located in Detroit. There are Depositors waiting in queue to collect their savings back. In other places there were not as peaceful and patient people waiting for their money back.
American Union Bank
This picture was taken at the American Union Bank.They are also lined up to get their money out of the bank which would be difficult considering the bank didn't have that money available for those people.
What accounted for the dramatic decrease in bank failures after 1933
The Fed had promised unlimited amounts of cash to the banks after FDR’s bank
holiday and the Emergency Banking Act. The Act established deposit insurance known as the FDIC. The Fed had raised the price of gold which was good for them but it was reducing the value of all the Federal Reserve Notes held by all the citizens who had handed over their gold. It wasn’t Roosevelt and his bank holiday or the Emergency Banking Act that saved the banks. It was the confidence that the citizens had in the system that saved the banks. Their constant hope in Roosevelts system kept them bringing more and more money that they had owed years ago which was helping the banks reopen their doors.
Walter Schmitt
The Bank's Rapid Changes from 1928 to 1933
Louise Doughtry
Work Cited
- http://buygoldandsilversafely.com/tag/bank-failures/
- http://eh.net/encyclopedia/article/parker.depression
- http://www.livinghistoryfarm.org/farminginthe30s/money_08.html
http://www.livinghistoryfarm.org/farminginthe30s/movies/schmitt_money_08.html
http://www.livinghistoryfarm.org/farminginthe30s/movies/farr_money_08.html
http://www.livinghistoryfarm.org/farminginthe30s/movies/dougherty_money_08.html