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Federal Reserve Act
Was created in 1913 to avert future panic if the economy were to collapse. The 16th Amendment was passed, enforcing an income tax on the people. -
Assembly line invented
Henry Ford invented the assembly line, making production faster, making cars like the model T affordable to the common man -
Black Thursday (Stock Market Crash)
Was the most devastating stock market crash in US history, the crash started the 12 year long great depression -
Congress passes Emergency Banking Act
Establishes FDIC (Federal Deposit Insurance Corporation), protects against bank failure. The Glass- Steagall act was passed to restrict banks from doing risky buisness -
Great Depression ended by Government spending for WWII
Nearly all of America employed due to increased production, Automobile production quickly switched over to aircraft [production -
Korean War creates prospects of additional government deficits and the issuance of Government debt.
Treasury pressures the Fed to maintain a low interest rate on Government bonds but the Fed fears inflation -
Congress passes JFK's $12 billion dollar tax cut and the economy takes off
The job corps is created under the economic opportunity act, as part of Lyndon B Johnson's Great society -
President Lyndon B. Johnson signs landmark amendment to Social Security Act
It created Medicare and Medicaid. These programs provide health insurance to poor families -
Arab Oil Embargo
Causes Petro supply shocks that greatly raise the price of fuel. A decline in agriculture, combined with rising oil prices causes employment and inflation reaches 10% -
Massive Failure of savings and loans cost $160 billion
124 billion paid by bailout by US Government. Congress passes the Financial Institutions Reform, Recovery,, and Enforcement Act(FIRREA) -
US Stock Market plunges dangerously
Federal Reserve Board chairman Alan Greenspan calms the panic with a public statement that the fed would serve as a source of liquidity to support the economic system -
NAFTA is implemented
To remove Tariff Barriers between the US, Canada, and Mexico for Fifteen years.Congress Passes the Riegle-Neal Interstate Banking and Branching Efficiency Act, eliminating all barriers to establishing bank branches nationwide -
Housing bubble bursts
Setting in motion the subprime mortgage crisis and recession. Congress begins to recognize the emergence of the "shadow banking system", and the failure of the regulatory system. Once again the banking system faces a crisis -
President Barrack Obama and Congress pass ARRA
providing tax cuts and federal funds to create new jobs, save existing jobs, and spur economic growth.America's debt rises to $11 trillion while the deficit rises to $1.4 trilion -
Congress Passes Financial regulations bill
aimed at preventing the risky behavior and regulatory failures that brought the economy to the brink of collapse and cost millions of Americans their jobs and savings. Congress passes the Health Care Reform Bill aimed at providing affordable quality healthcare for everyone
