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How did the Glass-Steagall Act work? or what did it do?

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User Fauzan
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1 Answer

4 votes

Answer:

The Glass-Steagall Act is a 1933 law that separated investment banking from retail banking. ... By separating the two, retail banks were prohibited from using depositors' funds for risky investments. Only 10% of their income could come from selling securities. They could underwrite government bonds.

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User JPocoata
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