Fdr's Inauguration Ceremony

The emergency banking act legalized Roosevelts, it also addressed the evaluation and reorganization of the closed banks permitting the appointment of a consevator with the powers of reciervership overall nations allowing for the orderly liquidation of banks that could not be saved and the reorganization of those that could. An independent agency of the U.S government, to provide investments in curupt banks, by purchasing the stock of banks to relieve them of short term debts to provide them with a long term investment fund. The act also allowed new federal researve bank notes to be issued to the current address of the currency shortage that was due to people hoording thier money at home. Two million dollers to people that were effected by The emergency banking relief act. The banks reopened on march 13, 1933, The day after Franklin Roosevelts radio speech and bank deposits for outweighed the bank withdrawals. The 1933 Emergency Banking relief act was largely replaced later by the Banking Act of 1933.

The Emergency Banking Act Of 1933 was a bill that was passed by President Franklin D. Roosevelt in response to the money-wise conditions of the Great Depression. The act was passed when banks were shutdown, in hopes that Americans would restart their self-assurance by the time the banks were capable of re-opening.

The first day of being on office, President Roosevelt announced a Bank Holiday which lasted for eight whole days. After the bank holiday, the Government created an agency that regulated the banks better than ever before. Now only banks that were trusted by the Government could be open for business. After the crash in 1929, me and almost everyone else did not trust banks with our money - and for good reason. But now with the Federal Deposit Insurance Corporation, the Government guarantees protection for out money in these approved banks, up to $5,000. So of course I soon went down and opened another bank account, knowing that I would be protected from another run on the banks.

President Franklin D. Roosevelt, arguably one of the most famous Presidents because of his work during such a difficult time took office in 1933. Roosevelt came into office with a bold plan and acted on it swiftly, providing jobs and relief for those in need. “Over the next eight years, the government instituted a series of experimental projects and programs, known collectively as the New Deal, that aimed to restore some measure of dignity and prosperity to many Americans. More than that, Roosevelt’s New Deal permanently changed the federal government’s relationship to the U.S. populace.” The New Deal consisted of a number of government-funded programs. For my purpose though, I want to focus on the Bank Act of 1933. The Bill was sponsored by Sen. Carter Glass (D-VA) and Rep. Henry Steagall (D-AL) and signed into law by Roosevelt in 1933. This policy change set up the banking industry for a successful recovery and a strong future. The Bank Act of 1933 contained many goals. One of the most crucial successes of this law was that commercial banking and investment banking were now completely separate. This interaction had been a problem due to overlap in business practices that weren’t morally right. Another system of value that came from this act was the Federal Deposit Insurance Corporation or FDIC, as many of us know it today. What the FDIC does is insure deposits up to a certain amount. This was great for the clients of the bank and brought back a sense of security among the

The New Deal was economically radical; it gave the government a lot of power to regulate the banking system and finance system. The Glass-Steagall Banking Act of 1933 and the Emergency Banking Act of 1933 were among the first the New Deal policies. Both acts were aimed to regulate the banking system and to restore people’s faith in banks. The Emergency Banking Act “gave the secretary of the treasure

Major problems that were addressed in the speech were the chronological order of banks closing, public management, and banking and governments maintaining order. Roosevelt’s speech included a sequence as he states “first of all” “the second step” and “the third stage.” He uses the order to explain about the banks. For example, he explains the concept of depositing money in the bank and what happens to the money, such as money leads to the bank investment of money, instead of the perception of money being kept in a safe vault. Roosevelt further explains that the investment in banks keeps the economy in a checked cycle. Continuing with the sequence, Roosevelt describes the law that will allow authorities to restore banking facilities. As he mentions earlier, the third stage is about the proper functioning banks needing to follow a series of regulations that permits the care of distribution of food as well as payment of payrolls. Roosevelt speaks of public management often such as reopening banks and what to do if their bank doesn’t open. His concern for the public also incorporates the fear of improperly bank management. An overall effect Roosevelt discusses was the reformation of banks. He talks about bank holidays as well as trying to keep the government banks intacted. Though, these are a few problems, there were others

In regard to the 1933 Emergency Banking Act, the depression was crippling U.S. banks; people were withdrawing their funds as a result of a lack of faith in the banking system. Roosevelt

After the stock market crashed in 1929, Americans began to scramble to the banks to withdraw their money. As a result, thousands of financial institutions failed. This became known as the Great Depression. In 1933, President Roosevelt created the Federal Deposit Insurance Corporation, which would insure deposits to a certain limit with money pooled by other banks. This not only meant that people’s money was safe, but it boosted the confidence of the citizens. Taking action against the bank failures

The stock market crashes, banks are closed for “holiday”, unemployment rates rise, work is hard to find and families are seen in swarms in the streets and sections of the city. The time is 1929 after the stock exchange crash. With little to no faith in the financial system the government had a challenge on its hands. How to recover the United States economy? Their first proposal was drafted, by Senator Carter Glass, a Democrat from Virginia, that held the position of Treasury Secretary. He proposed a bill that in essence was created “to provide for the safer and more effective use of the assets of banks, to regulate interbank control, to prevent the undue diversion of funds into speculative operations, and for other purposes” basically put, banks could either be commercial banks that were able to hold onto deposits and earn profit by utilizing government bonds or securities (a more secured form of investing), or they had to choose to be investment banks which specifically specialized in high risks lending and utilize investors as a source of capital, however, they could not secure deposits. The bill was cleared through the Senate in 1932, nonetheless, The House of Representatives did not have time to vote on the Act before their recess. During this time Representative Henry B. Steagall a Democrat from Alabama added an amendment to the Banking Act, he insisted per guidance of Franklin D. Roosevelt that there be some type of Insurance Company associated within the

When Roosevelt took oath of office, the bank system was on the brink of collapse. With the creation of the

In the time leading up to and throughout the Great Depression the Federal Reserve struggled to enact monetary policy to ease the turmoil in the economy. Due to a lack of technology, there was a delay between events in the economy and when the Fed received information on the event (Richardson). Additionally, the Fed was decentralized resulting in contradicting policies between districts. Disagreements amongst the governors on which institutions the fed should protect during bank runs caused hundreds of banks to fail (Richardson). Furthermore, the United State was one of the world’s largest economies on the gold standard, and thus the fed’s monetary policies were forced upon other countries using this standard leading to a global economic crisis (Bernanke).

When a new president, Franklin Delano Roosevelt was inaugurated in March 1933, banks in all 48 states had either closed or had placed restrictions on how much money depositors could withdraw. FDR's first act as President was to declare a national "bank holiday" closing the banks for a three-day cooling off period. The most memorable line from the President's speech was directed to the bank crisis – "The only thing we have to fear is fear

My fellow Americans, it is the greatest of all honors to have been elected your president. Thank you for trusting me to lead us in the right direction. This country is the greatest of its kind and must not be lead astray by those who are ill-intentioned or ignorant. If there is one thing to be guaranteed during my tenure in office, it is that you will all see I am human. During my campaign, we have tried to paint the best picture, as have others. One thing we learned this election cycle is that if someone appears to be perfect, they are simply not being honest. While the world looks at me under a lens for four years, you will certainly see my shortcomings. With this being said, I will always do what I truly believe is best for our nation as a whole. Just as I am, this nation is not perfect. America is an example for every nation in the world to follow. Our ideologies are leading, but we have a lot of work to do. In order to achieve the best we can be, we must all band together, as one. Let us be united by the commonality that we are all different. This is truly the only way we will be able to achieve justice for all.

The depression forced dozens of states to regulate how much money was being withdrawn. In response to the bank failures, President Roosevelt’s main priority was to get money flowing back into the economy. First, Congress passed the Emergency Banking Act of 1933, which permitted banks to reopen if a Treasury Department inspection showed the banks had sufficient cash reserves. Then in 1935, President Roosevelt signed a new bill into law, the Glass-Steagall Act, which divided commercial and investment banking. In other words, “...commercial banks, which took in deposits and made loans, were no longer allowed to underwrite or deal in securities, while investment banks, which underwrote and dealt in securities, were no longer allowed to have close connections with commercial banks, such as overlapping directorships or common ownership.” The former network between the commercial and investment banks were believed by many as the main cause of the stock market

In 1791, U.S. Congress established the First Bank of the United States, headquartered in Philadelphia in response to the rapidly inflated paper money “continentals”. However, Congress refused to renew the bank’s charter in 1811 because many Americans then were uncomfortable with the idea of a large and powerful bank. By 1816, the idea of a central bank was once again aroused; by a narrow margin, Congress agreed to charter the Second Bank of the United States. But the Second Bank’s charter expired in 1836 without a renewal neither. During the Free Bank Era (1836-1865), risks of financial crisis accumulated. In 1893, a banking panic triggered the worst depression the United States had ever seen, and in 1907, a bout of speculation on Wall Street ended in failure, triggering a particularly severe banking panic. On December 23, 1913, President Woodrow Wilson