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1791 Bank of the US
This was the first bank of the United States which was established in 1791 to serve as a repository for federal funds and as the governments fiscal agent.; was proposed by Alexander Hamilton. -
1816 Second bank of the US
This had the same responsiblities and power as the first bank, difference this one doesnt have the limted sucess as the first bank. It was supposed to maintain a "currency principle" to keep its deposit rate stable. -
Civil war
A year before the civil war started the debt was $64.8 million. When the war began the debt grew and government had to find ways to pay for those debts. They accomplished it by passing the Legan tender act which allowed government to do greenbacks, sell $500 million bonds to raise money and pass the national bank act. -
1913 Federal Reserve Act
This was intended to establish a form of economic stability through the introduction of the central bank, which would be in charge of monetary policy, into the US. It is one of the most influential laws concerning the U.S financial system. -
1930's Great Depression
In the fall of 1930 it seemed like everything was recovering but the previous three contraction in 1930, 1923, and 1926 had lasted for 15 months. in novermber a serious of crises among commerical banks turned into a reccession leading towards the great depression. -
Glass-steagall Banking Act
U.S congress passed this act in 1933 as the banking act which prohibited commerical banks from participating in the investment banking business. It was sponsered by Senator Carter Glass and senator Henry Steagall. The act was passed as an emergency measure to counter the failure of banks during the great depression -
1970 ( regarding bankng)
Congress passed the Bank Secrecy Act in 1970 as the first laws to fight money laundering in the U.S. The BSA requires businesses to keep records and file reports that are determined to have a high degree of usefulness in criminal, tax, and regulartory matters. -
1999 Gramm- Leach - Bliley
Congress passed this regulation on november 12, 1999 which attempts to update and modernize the financial industry. Main fuction of the Act was to repeal the Glass- Steagall Act that said banks and other financial institutions were not allowed to offer financial services, like investments and insurance related services, as normal operations.
