Banks are considered a safer place to deposit money now than they were prior to 1933 because

Question

Quizplus · Accepted Answer

The creation of the FDIC (Federal Deposit Insurance Corporation) in 1933 significantly reduced the likelihood of bank runs and improved the safety of deposits in banks by providing insurance for deposits up to a certain amount. This means that even if a bank were to fail, depositors would still be able to recover their funds up to the insured amount. Gold reserves and reserve requirements may have increased over time, but they do not directly address the issue of depositor safety. The ban on commercial banks extending loans to the Federal Government is also unrelated to depositor safety.

Banks Are Considered a Safer Place to Deposit Money Now