What new deal agency dealt specifically with re-establishing public confidence in banks?

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2026-03-23 07:35

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The Federal Deposit Insurance Corporation (FDIC) was established as part of the New Deal in 1933 to restore public confidence in the banking system. It provided insurance for bank deposits, ensuring that depositors would not lose their savings in the event of a bank failure. By guaranteeing deposits, the FDIC aimed to stabilize the banking sector and encourage people to trust and use banks again.

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