and it is my belief that hoarding, during the past week has become an exceedingly unfashionable pastimeevelt did more. legislation following the bank holiday extended the federal reserve's powers forced banks to meet tougher regulatory standards p and created the federal deposit insurance corporation to guarantee customers' accounts up to $10,000. give me my 60 cents. how do i know you got 60 cents? here's my bankbook. all right, that's fine. 5, 10, 15, 20, 25, 30, 35, 40, 45, 50, 55, 60. that's o.k. americans showed their faith in the reopened banks and the crisis passed. the bank holiday was a watershed. it's remembered as one of fdr's most popular political moves. but, richard gill, was it really necessary? what had happened to the money supply? well, the money supply shrank drastically between 1929 and 1933. by money supply, we mean not just coins and currency, but also our checking accounts in the banks. since we make most major purchases by checks, rather than cash these deposits are the most important part of our money supply. commercial banks can actually create these deposits,