Which of the Following Did NOT Significantly Exacerbate the Banking

question 38

Multiple Choice

Which of the following did NOT significantly exacerbate the banking crisis of the early 1930s?

• A) The Fed's decision not to make loans to insolvent banks.
• B) The large number of small, poorly diversified banks.
• C) The large number of rural banks that held agricultural loans during a time of falling commodity prices.
• D) The large amount of fraud carried out by bank managers.

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Definitions:

Beyond a Reasonable Doubt

The highest standard of proof required in a criminal case, indicating that there is no plausible reason to believe otherwise than the defendant is guilty.

Circuit Courts

Courts that have appellate jurisdiction and cover a particular geographical area in the United States, also hearing a wide range of civil and criminal cases at the federal level.

Federal Court System

The judicial branch of the United States government, consisting of various levels of courts including the Supreme Court, appellate, and district courts.

Bankruptcy Court

A specialized court that deals with cases involving individuals or businesses that cannot pay their debts.