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Roughly when was demand deposit insurance first implemented in the United States? The Nixon Shock in...

Roughly when was demand deposit insurance first implemented in the United States?

The Nixon Shock in 1971

The Great Depression

The Great Recession

World War II

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Answer #1

Answer: The Great Depression

The demand deposit insurance came into effect on January 1, 1934. The initial coverage of this insurance was upto $2,500. This insurance was introduced during the Great Depression to restore trust in the American banking system.

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