ABSTRACT
While the New York stock market boom dominated the history of the 1920s, California had three other booms: real estate, oil and the movies. Agriculture in California was still growing, more slowly, but steadily, after the late 1800s and early 1900s land booms. However, the oil discoveries and the growing motion picture industry boosted awareness of the area. The arid climate was, and is, always an impediment to the development of Southern California. The typical California bank of the 1920s had three departments: savings, commercial and trust. Each had its own allocated capital and surplus; each operated under its own laws. The growth of Gianninis banking empire was encouraged by the healthy economy of California, and in turn helped to quickly develop growing parts of the state. Funds deposited in one area could quickly be loaned through branches in other neighborhoods. With a California charter, the savings departments could only invest in real estate, state-approved bonds, or high-grade securities.
