Question

What are the causes and event timeline of the 1907 Banker's panic?

Answer 1

• Panic of 1907also known as Banker's panic.
• It took place in US in October.
• It occurred during the time of Economic Recession.
• 1907 panic spread throughout the state and local banks.
• During this panic many banks collapsed,
• Prices declined and thousands of labourers lost their jobs.
• The crisis took place from 1834 to 1836.
• It had both domestic and international causes.
• Federal revenues from land sales and tariffs on Import.
• State backed bonds in British markets
• Led to infrasructure improvements, Industrial expansion and economic development.
• President Theodore Roosevelt was blamed for the panic of 1907.
• He was Nick named Trust buster.
• Panic of 1907resulted in banking reforms and led to establishment of central American Bank

Time line of 1907:-

• 1890:-. Clamp down of monopolies.
• Attempts to protect business practices that limited competition.
• Sherman Anti Trust Act.

1904:- northern security case

• President Roosevelt became victorious.
• Jp morgan and james J Hill was taken to count for violating this Act.

18th April 1906:-. San Francisco Earth quake.

• Monetary problems arise .
• Stock market began to fall.

June29 1906:-. Hep burn Act

• July 1907:-
• Continuation of trust bursting activity by president Roosevelt.

October 14 1907:-

• Attempted manipulation of stock market.

October 21st 1907:-

• Announcement of national Bank that it would no longer accept cheques.

October 22 1907:-

• Run on the knicker walker trust.company bank.

October 23 1907 :-

• Charles barne requested financial assistance from JP Morgan.

October 24 1907:-

• Bank started to collapse.

October 25 1907:-

• Panic continued to increase and JP Morgan asked the banks to make short term loans.

October 28 1907:-

• New york clearing House issued dollar Hundred million in loan certificates.

November 2 .,1907:-

• Moore and schley collapsed.

November 4 .1907:-

• President Roosevelt handed over US steels.

November 14 .1907:-

• Charles Barne shot himself to death because he could not live with disgrace.