The Weakness of the Fed's Actions During the Banking Crisis

question 51

Multiple Choice

The weakness of the Fed's actions during the banking crisis of the early 1930s resulted in

• A)a change in the law restricting its ability to make discount loans.
• B)the introduction of a federal system of deposit insurance.
• C)the establishment of the savings-and-loan industry.
• D)the elimination of reserve requirements on demand deposits.

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Definitions:

Group Norms

Unwritten rules and expectations about how group members should behave, which influence the behavior of individuals within the group.

Resistance To Change

The act of opposing or struggling against modifications or transformations within an organization or in personal behavior.

Group Inertia

The tendency of a group to maintain its current state or resist changes in direction or performance.

Intrapreneurship

The practice of encouraging employees within a company to develop innovative ideas or projects, which can lead to the creation of new services or products.