chapter  5
9 Pages

The 100 Days Legislation and the Banking Act of 1933

On March 11, 1933, Senator Carter Glass reintroduced his banking reform bill. On March 14, Senator Thomas P. Gore, Democrat of Ok 1ahoma, introduced a joint resolution calling for a constitutional amendment to give Congress control over all banking in the United States (Bums 1973, 79). In mid-March, there was a conference at the White House and an subsequent announcement that banking legislation would be introduced along the lines of the Glass bill. It was stressed that the immediate aim of the administration would be to revive quickly the banking system with the long-run objective "to get a permanently united and coherent banking system" through a "restructuring of the Federal Reserve system" (Bums 1974, 80). However, the Economy Act, passed on March 20, was the first legislation specifically originating with Roosevelt and fulfilled a campaign pledge to reduce government. The measure, which cut government employment and spending, was more deflationary than anything Hoover had advocated.