22. Increasing Bank Profitability in the 1930s

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Increasing Bank Profitability in the 1930s

March 14, 2022

A look back at bank spreads in the 1930s, when the Federal Reserve was trying to increase bank profitability.

The term structure of interest rates in a crisis can be altered, partially via Federal Reserve action, to incentivize banks to invest in Treasuries.

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