This Day in Politics – 1933 – The Great Depression

This Day in Politics – 1933 – The Great Depression

In 1933, during the Great Depression, the Emergency Banking Act  (officially named the Emergency Banking Relief Act) was signed by President Franklin D. Roosevelt.

The act allowed a plan that would close down insolvent banks and reorganize and reopen those banks strong enough to survive.

The Act was introduced during a joint session of Congress and was passed the same evening amid an atmosphere of chaos and uncertainty as over 100 new Democratic members of Congress swept into power.

These democrats were determined to take big steps to address banking failures and other economic malaise. (Seems like history is repeating itself a little bit here!)

The sense of urgency was such that the act was passed with only a single copy available on the floor and most legislators voted on it without reading it. Good work gentleman!