Economics Glossary

Glass Steagall

The Banking Act of 1933 was a law that established the Federal Deposit Insurance Corporation (FDIC) in the United States and introduced banking reforms, some of which were designed to control speculation.The repeal of the Glass–Steagall Act of 1933 effectively removed the separation that previously existed between Wall Street investment banks and depository banks. Many claim this repeal directly contributed to the severity of the Financial crisis of 2007–2010.

Secondary Banking Crisis

The Secondary Banking Crisis of 1973–75 was a dramatic crash in property prices in Great Britain which caused dozens of small ("secondary") lending banks to be threatened with bankruptcy. The Bank of England bailed out around thirty of these smaller banks, and intervened to assist some thirty others