Which policy aimed to regulate stock markets and protect investors during the New Deal?
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Correct answer: Securities and Exchange Commission (SEC)
The SEC was created to regulate stock markets and prevent fraud. This restored investor confidence and stabilized financial systems.
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More Keynesian Economics and New Deal questions
- According to Keynesian theory, what happens when government increases spending during a recession?
- What core idea of Keynesian economics influenced New Deal policies during the Great Depression?
- Which New Deal program best reflects Keynesian principles of government spending to create jobs?
- John Maynard Keynes argued that during economic downturns, governments should:
- Which New Deal policy aimed to stabilize prices and wages in line with Keynesian ideas?
- How did the New Deal reflect Keynesian thought regarding unemployment?