The ________ forced banks to separate their commercial banking and investment banking businesses.

Question

Quizplus · Accepted Answer

The Glass-Steagall Act of 1933, also known as the Banking Act, is the only act listed that forced banks to separate their commercial banking and investment banking businesses. It was enacted in response to the Great Depression and the perceived involvement of commercial banks in speculative investment activities, which led to the collapse of many banks. The act established the Federal Deposit Insurance Corporation (FDIC) and prohibited commercial banks from engaging in investment banking activities, among other provisions.

The ________ Forced Banks to Separate Their Commercial Banking and Investment