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New Deal Brochure

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Message ConclusionFEDERAL DEPOSITINSURANCECORPORATION THE GREATDEPRESSION,AN OVERVIEWThe Federal Deposit Insurance Corporation(FDIC) stands as a clear example of how theNew Deal brought lasting support toAmericans during the Great Depression.Although it is considered a reform program,the FDIC provided financial security byinsuring bank deposits and restoring publictrust in the nation’s financial system. Thishelped prevent further panic and contributedto long-term stability. Its continued operationtoday shows how impactful New Dealprograms were, not only in addressingimmediate problems but also in buildingstronger systems for the future.The Great Depression (1929-1939) remains the worsteconomic disaster in U.S. history. It began with thecatastrophic stock market crash of October 1929,when panicked investors sold 16 million shares in asingle day. As stock values evaporated, businessescollapsed, factories closed, and unemploymentskyrocketed to 25% by 1933. Nearly half of all banksfailed as desperate customers rushed to withdrawtheir life savings, only to find empty vaults. Farmerslost their land, families lost their homes, andshantytowns called "Hoovervilles" appeared acrossthe nation. The banking system faced total collapseby early 1933. With no deposit insurance, people lost$140 billion (as much as $2.7 trillion today) when9,000 banks failed. On March 4, 1933, FDR'sinauguration day, every U.S. bank was ordered closedto stop the panic. Photographs from the era showendless lines of anxious depositors, emptystorefronts, and children searching garbage cans forfood. This unprecedented crisis demanded radicalsolutions, setting the stage for Roosevelt's New Dealreforms that would include the creation of the FDIC.By: Faris Alkatib, D2/4 B4Since 1933, the Federal Deposit Insurance Corporation(FDIC) has served as America's financial safety net. overthe years it has evolved banking from a risky gambleinto a secure system. Born from the bank failures of theGreat Depression, this New Deal program didn't justrescue the economy - it revolutionized how bankingworks in America. By insuring deposits, the FDIC stabilized the financial system, and created afoundation of trust that still supports our economytoday. From Roosevelt's era to the digital age, the FDICcontinues to protect depositors while adapting to new challenges in a financial world that is constantly changing.(FDIC)A mob of customers scrambling to withdraw their savingsfrom a failing bank before its collapse, June 30th, 1931Works Cited

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Who Benefited from the FDIC?Stopped bank runs Still active todayRELIEFREFORM, ORRECOVERY?Savings protectedCREATION OF THE FIDCIn response to the widespread bankfailures and the panic they caused,President Franklin D. Roosevelt andCongress created the Federal DepositInsurance Corporation (FDIC) throughthe Banking Act of 1933. The FDIC wasdesigned to protect people’s money inthe event that a bank failed. Starting in1934, the FDIC insured deposits up to$2,500 per account, helping people feelsafe about keeping their money in thebank again. Today, that limit has risen to$250,000 per depositor, per insuredbank. The FDIC played a critical role inrestoring trust in the American bankingsystem and preventing future bankruns. It was one of the many reformsintroduced under Roosevelt’s New Dealto stabilize the U.S. economy. The FDIC primarily benefitedeveryday Americans, especiallyworking and middle-class familieswho were concerned about losingtheir savings. It also helped banksby restoring public trust, allowingthem to recover from the crisis.With people returning to banks anddepositing money again, thefinancial system was stabilized. Inthis way, the FDIC provided relief toindividuals and allowed thebanking system to function moresecurely in the long term.DID NEW DEAL PROGRAMS,LIKE THE FDIC, GENERATERELIEF FOR CITIZENS FROMTHE GREAT DEPRESSION?Yes, the FDIC was a clear example of the factthat new deal programs generated relief forAmericans during the Great Depression. and itdid it in numerous ways:Since 1933, not a single person has lost insuredmoney in a bank failure. This gave Americans realfinancial security during a time when they fearedlosing everything.Deposit InsuranceThe FDIC helped rebuild public confidence in thebanking system. Knowing their money was safe,people began depositing again, which helpedbanks survive and the economy recover.Before the FDIC, people panicked and rushed towithdraw money from failing banks. Depositinsurance ended that fear and stopped thedangerous cycle of bank runs.The FDIC continues to insure deposits up to$250,000 per person, proving its long-term success.It’s a lasting New Deal program that still protectscitizens and supports the economy.The FDIC is best categorized as a reformprogram. Unlike relief programs, whichoffer immediate help, or recovery efforts,which aim to return the economy to its state preceding the Great Depression,the FDIC made lasting changes to thebanking system to prevent futureproblems. By insuring deposits, iteliminated the fear that people wouldlose their savings in the event of a bankfailure. This long-term reform aimed tobuild confidence in the banking system,ensuring stability and trust for years tocome.FDR signing part of the New Deal into effect,circa 1933

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Who Benefited from the FDIC?Stopped bank runs Still active todayRELIEFREFORM, ORRECOVERY?Savings protectedCREATION OF THE FIDCIn response to the widespread bankfailures and the panic they caused,President Franklin D. Roosevelt andCongress created the Federal DepositInsurance Corporation (FDIC) throughthe Banking Act of 1933. The FDIC wasdesigned to protect people’s money inthe event that a bank failed. Starting in1934, the FDIC insured deposits up to$2,500 per account, helping people feelsafe about keeping their money in thebank again. Today, that limit has risen to$250,000 per depositor, per insuredbank. The FDIC played a critical role inrestoring trust in the American bankingsystem and preventing future bankruns. It was one of the many reformsintroduced under Roosevelt’s New Dealto stabilize the U.S. economy. The FDIC primarily benefitedeveryday Americans, especiallyworking and middle-class familieswho were concerned about losingtheir savings. It also helped banksby restoring public trust, allowingthem to recover from the crisis.With people returning to banks anddepositing money again, thefinancial system was stabilized. Inthis way, the FDIC provided relief toindividuals and allowed thebanking system to function moresecurely in the long term.DID NEW DEAL PROGRAMS,LIKE THE FDIC, GENERATERELIEF FOR CITIZENS FROMTHE GREAT DEPRESSION?Yes, the FDIC was a clear example of the factthat new deal programs generated relief forAmericans during the Great Depression. and itdid it in numerous ways:Since 1933, not a single person has lost insuredmoney in a bank failure. This gave Americans realfinancial security during a time when they fearedlosing everything.Deposit InsuranceThe FDIC helped rebuild public confidence in thebanking system. Knowing their money was safe,people began depositing again, which helpedbanks survive and the economy recover.Before the FDIC, people panicked and rushed towithdraw money from failing banks. Depositinsurance ended that fear and stopped thedangerous cycle of bank runs.The FDIC continues to insure deposits up to$250,000 per person, proving its long-term success.It’s a lasting New Deal program that still protectscitizens and supports the economy.The FDIC is best categorized as a reformprogram. Unlike relief programs, whichoffer immediate help, or recovery efforts,which aim to return the economy to its state preceding the Great Depression,the FDIC made lasting changes to thebanking system to prevent futureproblems. By insuring deposits, iteliminated the fear that people wouldlose their savings in the event of a bankfailure. This long-term reform aimed tobuild confidence in the banking system,ensuring stability and trust for years tocome.FDR signing part of the New Deal into effect,circa 1933

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Who Benefited from the FDIC?Stopped bank runs Still active todayRELIEFREFORM, ORRECOVERY?Savings protectedCREATION OF THE FIDCIn response to the widespread bankfailures and the panic they caused,President Franklin D. Roosevelt andCongress created the Federal DepositInsurance Corporation (FDIC) throughthe Banking Act of 1933. The FDIC wasdesigned to protect people’s money inthe event that a bank failed. Starting in1934, the FDIC insured deposits up to$2,500 per account, helping people feelsafe about keeping their money in thebank again. Today, that limit has risen to$250,000 per depositor, per insuredbank. The FDIC played a critical role inrestoring trust in the American bankingsystem and preventing future bankruns. It was one of the many reformsintroduced under Roosevelt’s New Dealto stabilize the U.S. economy. The FDIC primarily benefitedeveryday Americans, especiallyworking and middle-class familieswho were concerned about losingtheir savings. It also helped banksby restoring public trust, allowingthem to recover from the crisis.With people returning to banks anddepositing money again, thefinancial system was stabilized. Inthis way, the FDIC provided relief toindividuals and allowed thebanking system to function moresecurely in the long term.DID NEW DEAL PROGRAMS,LIKE THE FDIC, GENERATERELIEF FOR CITIZENS FROMTHE GREAT DEPRESSION?Yes, the FDIC was a clear example of the factthat new deal programs generated relief forAmericans during the Great Depression. and itdid it in numerous ways:Since 1933, not a single person has lost insuredmoney in a bank failure. This gave Americans realfinancial security during a time when they fearedlosing everything.Deposit InsuranceThe FDIC helped rebuild public confidence in thebanking system. Knowing their money was safe,people began depositing again, which helpedbanks survive and the economy recover.Before the FDIC, people panicked and rushed towithdraw money from failing banks. Depositinsurance ended that fear and stopped thedangerous cycle of bank runs.The FDIC continues to insure deposits up to$250,000 per person, proving its long-term success.It’s a lasting New Deal program that still protectscitizens and supports the economy.The FDIC is best categorized as a reformprogram. Unlike relief programs, whichoffer immediate help, or recovery efforts,which aim to return the economy to its state preceding the Great Depression,the FDIC made lasting changes to thebanking system to prevent futureproblems. By insuring deposits, iteliminated the fear that people wouldlose their savings in the event of a bankfailure. This long-term reform aimed tobuild confidence in the banking system,ensuring stability and trust for years tocome.FDR signing part of the New Deal into effect,circa 1933

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ConclusionFEDERAL DEPOSITINSURANCECORPORATION THE GREATDEPRESSION,AN OVERVIEWThe Federal Deposit Insurance Corporation(FDIC) stands as a clear example of how theNew Deal brought lasting support toAmericans during the Great Depression.Although it is considered a reform program,the FDIC provided financial security byinsuring bank deposits and restoring publictrust in the nation’s financial system. Thishelped prevent further panic and contributedto long-term stability. Its continued operationtoday shows how impactful New Dealprograms were, not only in addressingimmediate problems but also in buildingstronger systems for the future.The Great Depression (1929-1939) remains the worsteconomic disaster in U.S. history. It began with thecatastrophic stock market crash of October 1929,when panicked investors sold 16 million shares in asingle day. As stock values evaporated, businessescollapsed, factories closed, and unemploymentskyrocketed to 25% by 1933. Nearly half of all banksfailed as desperate customers rushed to withdrawtheir life savings, only to find empty vaults. Farmerslost their land, families lost their homes, andshantytowns called "Hoovervilles" appeared acrossthe nation. The banking system faced total collapseby early 1933. With no deposit insurance, people lost$140 billion (as much as $2.7 trillion today) when9,000 banks failed. On March 4, 1933, FDR'sinauguration day, every U.S. bank was ordered closedto stop the panic. Photographs from the era showendless lines of anxious depositors, emptystorefronts, and children searching garbage cans forfood. This unprecedented crisis demanded radicalsolutions, setting the stage for Roosevelt's New Dealreforms that would include the creation of the FDIC.By: Faris Alkatib, D2/4 B4Since 1933, the Federal Deposit Insurance Corporation(FDIC) has served as America's financial safety net. overthe years it has evolved banking from a risky gambleinto a secure system. Born from the bank failures of theGreat Depression, this New Deal program didn't justrescue the economy - it revolutionized how bankingworks in America. By insuring deposits, the FDIC stabilized the financial system, and created afoundation of trust that still supports our economytoday. From Roosevelt's era to the digital age, the FDICcontinues to protect depositors while adapting to new challenges in a financial world that is constantly changing.(FDIC)A mob of customers scrambling to withdraw their savingsfrom a failing bank before its collapse, June 30th, 1931Works Cited

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ConclusionFEDERAL DEPOSITINSURANCECORPORATION THE GREATDEPRESSION,AN OVERVIEWThe Federal Deposit Insurance Corporation(FDIC) stands as a clear example of how theNew Deal brought lasting support toAmericans during the Great Depression.Although it is considered a reform program,the FDIC provided financial security byinsuring bank deposits and restoring publictrust in the nation’s financial system. Thishelped prevent further panic and contributedto long-term stability. Its continued operationtoday shows how impactful New Dealprograms were, not only in addressingimmediate problems but also in buildingstronger systems for the future.The Great Depression (1929-1939) remains the worsteconomic disaster in U.S. history. It began with thecatastrophic stock market crash of October 1929,when panicked investors sold 16 million shares in asingle day. As stock values evaporated, businessescollapsed, factories closed, and unemploymentskyrocketed to 25% by 1933. Nearly half of all banksfailed as desperate customers rushed to withdrawtheir life savings, only to find empty vaults. Farmerslost their land, families lost their homes, andshantytowns called "Hoovervilles" appeared acrossthe nation. The banking system faced total collapseby early 1933. With no deposit insurance, people lost$140 billion (as much as $2.7 trillion today) when9,000 banks failed. On March 4, 1933, FDR'sinauguration day, every U.S. bank was ordered closedto stop the panic. Photographs from the era showendless lines of anxious depositors, emptystorefronts, and children searching garbage cans forfood. This unprecedented crisis demanded radicalsolutions, setting the stage for Roosevelt's New Dealreforms that would include the creation of the FDIC.By: Faris Alkatib, D2/4 B4Since 1933, the Federal Deposit Insurance Corporation(FDIC) has served as America's financial safety net. overthe years it has evolved banking from a risky gambleinto a secure system. Born from the bank failures of theGreat Depression, this New Deal program didn't justrescue the economy - it revolutionized how bankingworks in America. By insuring deposits, the FDIC stabilized the financial system, and created afoundation of trust that still supports our economytoday. From Roosevelt's era to the digital age, the FDICcontinues to protect depositors while adapting to new challenges in a financial world that is constantly changing.(FDIC)A mob of customers scrambling to withdraw their savingsfrom a failing bank before its collapse, June 30th, 1931Works Cited