Before 1980 there had never been a major financial collapse in the market since the Great Depression. Protection measures had been introduced to investors from volatile times.
For example, commercial banks, the deposits for basic checking or savings accounts have received risky investments such as mutual funds offer was prohibited. Those were the days before the variable rate mortgages and predatory lending. All of these measures by the Glass Steagall Act of 1933 has been implemented, our country survived the Great Depression. At least that’s how it was until 1980. continue reading…