Exchange Commission

1 Pages 152 Words

Exchange Commission (SEC) was formed to enforce the new regulations of the stock market. Stock exchanges had to register with the SEC and follow new rules under the Securities Exchange Act of 1934. Various other bills were passed to ban connections between commercial and investment banking, to control the behavior of bankers when collateral is involved in borrowing , to ensure that banks would have additional funds and the gold standard would remain secure. Most of these bills were passed in the five years following the great crash of 1929 as the United States government and wall street tried to regain their economic viability. It took a long time for the American public to gain back confidence in their economic system. The stock market finally took a turn for the better in 1954, as it began to assume another bull market like that of the early twenties....