The main reason there haven't been any serious bank panics in the United States since the Great Depression is A. The federal government regulation provided by the National Banking System B. The effectiveness of the Federal Reserve System as a lender of the last resort. C. The confidence inspired by the federal deposit insurance system. D. The limits on bank branching imposed by the McFadden Act.

Principles of Economics 2e
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Chapter27: Money And Banking
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The main reason there haven't been any serious bank panics in the United States since the Great Depression is

A. The federal government regulation provided by the National Banking System

B. The effectiveness of the Federal Reserve System as a lender of the last resort.

C. The confidence inspired by the federal deposit insurance system.

D. The limits on bank branching imposed by the McFadden Act.

2. Evidence from U.S economic history seems to suggest that

A. bank panics help cause economic recessions.

B. economic recessions help cause bank panics.

C. most bank panics are caused by rumors rather than by real economic disturbances.

D. both a and c are correct. 

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