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Why were banks one of the first institutions to feel effects of the stock?
Wiki User
∙ 8y ago
Because banks have become securities and investment banks.
This practice was one of the causes of the Great Depression. So, laws were passed at that time forbidding ordinary banks from participating in securities speculation and affiliations with the Stock Market and investment firms. But, our lawmakers, now owned by the wealthy and moneyed interests, chipped away these restrictions during the late 1980s and 1990s, then repealed them entirely in 1999, allowing banks to gamble with everybody's money making them vulnerable to changes in the marketplace. Nine years later another great depression almost occurred. But, not to worry, the ordinary people, whose money the banks lost, got to cover the banks' losses to prevent the situation they'd created from becoming even worse.
Wiki User
∙ 8y ago
Wiki User
∙ 11y agoBecause you touch yourself at nigt
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Why were banks one of the first institutions to feel the effects of stock market crash?
Banks were one of the first institutions to feel the effects of the Stock Market crash because people feared for their money and rushed to withdraw their savings.
Why were the banks one of the first institutions to feel the effects of the stock market crash?
Banks were one of the first institutions to feel the effects of the Stock Market crash because people feared for their money and rushed to withdraw their savings.
Why were the banks one of the first institutions to feel the effects of the crash?
Banks were one of the first institutions to feel the effects of the Stock Market crash because people feared for their money and rushed to withdraw their savings.
Why were banks one of the first institutions to the feel the effects of the stock market crash?
Frightened depositors feared for their money and tried to withdraw it from their banks.
What is the percentage amount paid by banks or other financial institutions on monetary deposits?
blue chip stock
What is legal definition of business days regarding contracts in Utah?
A business day is generally a day that most business and institutions are open, usually based on days that banks and major stock exchanges are open, and excludes Saturdays and Sundays.A business day is generally a day that most business and institutions are open, usually based on days that banks and major stock exchanges are open, and excludes Saturdays and Sundays.A business day is generally a day that most business and institutions are open, usually based on days that banks and major stock exchanges are open, and excludes Saturdays and Sundays.A business day is generally a day that most business and institutions are open, usually based on days that banks and major stock exchanges are open, and excludes Saturdays and Sundays.
How do you use the word financial institution in a sentence?
Major financial institutions include banks, insurance companies, and stock brokerages.
Examples of non stock and loan association?
Savings banks are examples of financial institutions that do not have a stock and loan association. They are limited by law to only provide saving options.
What is apple stock and where is it located?
Apple stock is New York Stock Exchange symbol AAPL as well as on NASDAQ. You may purchase by opening an account through an investment firm or stock broker and through some banks or financial institutions. Apple Inc. headquarters is in Silicone Valley.
Who invests in stock market?
A lot of people invest in the stock market. Some are: * Institutions & companies * Mutual fund houses * Individual investors (common man) * HNIs (High Net Worth Individuals) * Banks * etc...
What caused thousands of banks to fail?
banks invest money in the stock market, stock market crached, so did the banks
What is the purpose of Federal Intermediate Credit Banks?
created to discount or buy short- and medium-term notes from commercial banks and other financial institutions holding notes of farmers and ranchers. The capital stock of the FICBs are owned by production credit associations
