Chronology of Economic, Political and Financial Events in United States of America Prepared for Geert Bekaert, Eric Engstrom and Campbell R. Harvey's "The U.S. Risk Premium"
Date	Major Political and Economic Events
Apr 1820	The federal government modifies the public land law to enable settlers to purchase land in eighty-acre parcels at $1.25 an acre.a
Dec 6, 1820	James Monroe is reelected as the President.b
Feb 1821	Kentucky becomes the first state to abolish incarceration for debt.a
May 4, 1822	President James Monroe vetoes a bill to repair and collect tolls on the National Road.a
Mar 3, 1823	Congress approves first act for harbor improvements.b
Dec 2, 1823	Monroe Doctrine declares opposition of United States to European interference in affairs of independent countries of North and South America.b
Mar 1824	The U.S. Supreme Court hands down the Gibbons vs. Ogden decision, which establishes the federal government's power over interstate commerce.a
May 22, 1824	Tariff Act raises protective tariffs.b
Jan 31, 1825	Chesapeake and Ohio Canal Company are chartered by Maryland.b
Feb 9, 1825	John Quincy Adams is elected as President.
Oct 26, 1825	The state of New York completes the Erie Canal, connecting Lake Erie to Hudson River; the commerce between East and West accelerates.a
Nov 1825	Bad harvests during the French Revolution and Napoleonic Wars cause stocks and bonds prices in Europe to drop precipitously, forcing many bankruptcies.a
1826	John Stevens maneuvers the first steam locomotive on tracks in Hoboken, New Jersey.a
Mar 8, 1827	Baltimore and Ohio Railroad Company are incorporated in Maryland.b
May 19, 1828	"Tariff of Abominations", a bill placing extremely high duties on imported raw materials is approved.b
Jul 4, 1828	Construction begins on the Baltimore and Ohio Railroad.a
Dec 3, 1828	Andrew Jackson is elected as President.
Dec 19, 1828	South Carolina protests Tariff Act of 1828 and sets forth doctrine of nullification.a
1829	New York Safety Fund Act requires chartered banks to contribute to fund to redeem notes of failed banks.b
Mar 12, 1830	In Craig vs. Missouri, Supreme Court rules unconstitutional state loan certificates intended for circulation.b
May 24, 1830	First division of Baltimore and Ohio Railroad is completed.a
May 27, 1830	Jackson vetoes the Maysville Road Bill, which would have provided federal monetary support for a sixty-mile road construction project entirely in Kentucky.a
May 31, 1830	Jackson approves aid for extension of Cumberland road as national project.b
Jan 15, 1831	First U.S.-built locomotive is placed in service.b
Mar 3, 1832	Supreme Court rules exclusive control of federal governent over tribal Indians and their lands.b
Jul 10, 1832	Jackson vetoes bill to recharter Bank of the United States.a
Nov 24, 1832	South Carolina passes Ordinance of Nullification, voiding tariff acts of 1828 and 1832.b
Dec 1832	Last redeemable federal debt retired and Treasury Secretary urges tariff reduction.b
Dec 5, 1832	Jackson is reelected as the President.
Mar 2, 1833	"Force Bill" approved empowering President to enforce compliance with tariff.b
Sep 26, 1833	Secretary of Treasury Taney removes U.S. deposits from Bank of the United States.b
Oct 1833	President Andrew Jackson withdraws federal funds from the Second Bank of the United States.a
Mar 28, 1834	Senate censures Jackson for removal of U.S. deposits from Bank of the United States.b
Jun 28, 1834	Second Coinage Act changes silver/gold ratio to 16 to 1, undervaluing silver and driving it from circulation.b
Dec 8, 1985	Federal government becomes debt-free for the first time.b
Feb 18, 1836	Bank of the United States is rechartered as Bank of the United States of Pennsylvania.b
Mar 2, 1836	Texas declares independence from Mexico. b)
Jun 23, 1836	Deposit Act requires Secretary of Treasury to name at least one bank in each state as the place of deposit and to distribute federal surplus to states.b
Jul 11, 1836	Specie Circular directs payments for public lands be in gold or silver.a
Dec 7, 1836	Martin Van Buren is elected as President.
Mar 1837	Wildcat banking and land speculation are matched by a fall in cotton prices, and the tightening of British credit brings the overheated economy to a screeching halt.a
May 10, 1837	Panic of 1837 begins as New York banks suspend specie payments, starting seven-year depression.b
Jan 7, 1839	Washington Mining Company is chartered; it is the first silver-mining company in the nation.a
Jul 4, 1840	Independent Treasury Act to hold federal funds in specie is approved.b
Aug 19, 1841	A new federal bankruptcy law is enacted.a
Sep 11, 1841	Tyler vetoes bill to reestablish national bank, and all members of Cabinet except Webster resign in protest.a
1842	Louisiana Banking Law first requires reserves against deposits as well as notes.b
Aug 30, 1842	Tariff Act raises duties to 1832 level.b
Sep 19, 1844	William Burt discovers iron on the upper peninsula of Michigan.a
Dec 4, 1844	James K. Polk is elected as President.
1845	Potato famine causes massive emigration from Ireland to U.S.b
May 13, 1846	Congress declares war on Mexico.b
Jun 26, 1846	Britain repeals Corn Laws, encouraging grain exports from U.S.a
Jul 30, 1846	Walker Tariff Act reduces duties.b
Aug 6, 1846	Congress reestablishes Independent Treasury.b
Apr 16, 1847	Samuel Morse forms the first telegraph company in the United States.a
Sep 14, 1847	General Winfield Scott captures Mexico City.b
1848	Chicago Board of Trade opens.b
1848	Failure of Revolutions of 1848 causes many Germans to emigrate to U.S.a
Jan 24, 1848	Golds are discovered at John Sutter's Mill, and the California Gold Rush begins.a
Feb 2, 1848	Treaty of peace with Mexico transfers New Mexico and California to U.S.b
Nov 7, 1848	Zachary Taylor is elected as President.
Dec 20, 1849	Commercial treaty is signed with Hawaiian Islands.b
Jul 4, 1850	Clayton-Bulwer Treaty with Britain to forego exclusive control over future Isthmian canal.b
Sep 20, 1850	First federal land grant subsidizes railroad from Chicago to Mobile.a
May 15, 1851	Trains begin running on the Erie Railroad between Lake Erie and New York City.a
Jun 2, 1851	"Maine Law" of Portland prohibits manufacture and sale of intoxicating liquors.b
Feb 20, 1852	First railroad train reaches Chicago from eastern ports.a
Nov 2, 1852	Franklin Pierce is elected as President.
1853	New York City banks form first clearing house.b
Mar 28, 1854	Crimean War - Britain and France attack Russia in defense of Turkey - begins.b
Mar 31, 1854	Commercial treaty is signed by Commodore Perry with Japan.b
Aug 3, 1854	The Graduation Act is passed to reduce the price of federal land.a
Jan 1, 1855	The first American oil company, the Pennsylvania Rock Oil Company, is formed.a
Sep 21, 1856	Illinois Central Railroad is completed from Chicago to Cairo.b
Nov 4, 1856	James Buchanan is elected as President.
Mar 3, 1857	Tariff Act reduces duties significantly.b
Apr 24, 1857	Panic of 1857 starts with failure of Ohio Life Insurance Company. b)
Aug 24, 1857	A drop in grain prices and the over-production of manufactured goods set off another panic. The panic begins with the failure of the New York branch of the Ohio Life Insurance & Trust Company, and the resulting depression lasts two years.a
Sep 16, 1857	Overland mail service to West Coast is arranged under federal subsidy.b
1858	Massachusetts requires reserves for banks against both deposits and notes following failures.b
July 1858	Gold is discovered near present-day Denver, Colorado, thus initiating the Pikes Peak Gold Rush and the white settlement of Colorado.a
1859	Comstock Lode is discovered in Nevada, first large silver strike.b
Aug 27, 1859	Oil is discovered in Pennsylvania.b
Apr 8, 1860	Pony Express begins ten-day service Missouri to Sacramento.b
Nov 6, 1860	Abraham Lincoln is elected as President.
Dec 20, 1860	South Carolina secedes from Union by unanimous vote of convention and seize all federal installations.b
Mar 2, 1861	Morrill Tariff Act increasing protection is approved.b
May 6, 1861	Confederate Congress votes war with U.S.b
Aug 5, 1861	Congress approves first federal income tax, 3 % levy on incomes over $800.a
Oct 7, 1861	Telegraph service opens to Sacramento.b
Dec 30, 1861	New York banks suspend specie payments, followed quickly by other cities.b
Feb 25, 1862	Legal Tender Act provides for issue of $150,000,000 in paper money called "greenbacks" -the first national paper money-, and for issuance of $500,000,000 in bonds at 6 percent.a
May 20, 1862	Homestead Act provides for free farms on public lands, proposal long opposed by South.b
Jun 19, 1862	Congress abolishes slavery in territories.b
Jul 1, 1862	Income tax revised: 3 percent on incomes $600 to $10,000 and 5 percent over $10,000.b
Jul 1, 1862	Pacific Railroad Act authorizes construction of route from Nebraska to California.b
Jul 11, 1862	Congress votes to issue $150,000,000 additional greenbacks.b
Feb 25, 1863	Congress passes the National Banking Act, establishing a network of national banks.a
Mar 3, 1863	Congress authorizes third and final issue of $150,000,000 in greenbacks and large borrowings at 6 percent.b
Apr 2, 1863	"Bread riot" occurs in Richmond.b
Jul 13, 1863	Draft rioters take over New York City until troops restore order.b
Jun 19, 1864	Tariff Act raises duties substantially.b
Jun 30, 1864	Internal Revenue Act broadens income tax and imposes other taxes on business.b
Jul 11, 1864	Gold price of greenbacks falls to 39 cents, lowest point in war.b
Nov 8, 1864	Lincoln is reelected as President.
Mar 3, 1865	Congress authorizes $600,000,000 bond issue at 5 percent.b
Mar 3, 1865	Congress imposes 10 percent tax on state bank notes, causing many state banks to convert to national charters.b
Apr 15, 1865	Lincoln dies following shooting by John Wilkes Booth.b
May 26, 1865	Last Confederate forces in West end armed resistance.b
Dec 18, 1865	Thirteenth Amendment abolishes slavery.b
Apr 12, 1866	Funding Act provides for conversion of short-term securites into long-term bonds.b
Jul 1, 1866	Congress enacts a 10 percent tax on state bank notes, in an effort to drive the state banks out of business.a
Jul 13, 1866	Congress reduces wartime taxes.b
Jul 30, 1866	Serious race riots occur in New Orleans.b
Sep 7, 1866	The second Atlantic cable is successfully completed to Britain by U.S. firm.b
Mar 2, 1867	Internal Revenue Act reduces taxes.b
Apr 9, 1867	Senate consents to purchase Alaska from Russia for $7,200,000.b
Feb 4, 1868	Congress suspends retirement of greenbacks, leaving $356,000,000 in circulation.b
Mar 31, 1868	Excise taxes are removed, except for liquor and tobacco.b
Jun 25, 1868	Congress passes Eight-Hour Act for government workers.b
Nov 3, 1868	Ulysses S. Grant is elected as President.
Sep 24, 1869	On "Black Friday," an effort by Jay Gould and Jim Fisk to corner the gold market collapses, ruining many investors.a
Jul 14, 1870	Internal Revenue Act eliminates most excise taxes and ends income tax in 1872.b
Apr 7, 1871	Illinois Railroad Act, first of "Granger Laws," creates commission to regulate rates and sevices of railroads and warehouses.b
Jun 6, 1872	Tariff Act reduces most tariffs by 10 percent.b
Nov 5, 1872	Grant is reelected as President.
Feb 12, 1873	Coinage Act ends coinage of silver dollar.b
Sep 8, 1873	Failure of Jay Cooke and Co., financier of Northern Pacific Railroad, sets off a five-year depression.a
Sep 20, 1873	New York Stock Exchange closes for ten days following "Black Friday."b
May 4, 1874	Secretary of Treasury Richardson resigns after tax scandal.b
Jun 20, 1874	Currency Act fixes amount of greenbacks in circulation at $382,000,000.b
1875	Gold is discovered in South Dakota.b
Jan 14, 1875	Specie Resumption Act provides for redemption of greenbacks in gold.b
Mar 3, 1875	Tariff Act restores 10 percent reduction of 1872.b
Mar 1, 1877	Supreme Court upholds state regulation of warehouse rates and other facilities as well as intrastate railroad rates in public interest.b
Mar 2, 1877	Rutherford B. Hayes is elected as President.
Jul 17, 1877	Widespread railroad strikes protest wage reducton.b
Aug 15, 1877	Long strike of anthracite workers in Pennsylvania ends with 10 percent wage increase.b
Jan 28, 1878	The nation's first commercial telephone exchange begins operations in New Haven.a
Oct 27, 1878	Manhattan Savings Institute of New York is robbed of $3,000,000 in record holdup.b
Dec 17, 1878	Greenbacks are quoted at par with gold, first time since 1862.b
Jan 25, 1879	Arrears of Pension Act provides retroactive payments to veterans.b
Nov 2, 1880	James A. Garfield is elected as President.
1881	Anaconda copper mine opens in Montana.b
Jan 19, 1881	Western Union Telegraph Company is formed through consolidations.b
Jan 24, 1881	Supreme Court rules 1862 federal income tax unconstitutional.b
Mar 3, 1881	Congress authorizes registration of trademarks.b
Sep 19, 1881	The President Garfield dies following shot by office-seeker.b
Jan 2, 1882	John D. Rockefeller organizes Standard Oil Trust.a
May 6, 1882	Congress passes the Chinese Exclusion Act, banning the immigration of Chinese for ten years.a
May 24, 1883	Brooklyn Bridge between New York and Brooklyn is completed.b
Sep 8, 1883	Northern Pacific Railroad line is completed.b
1884	Telephone service is established between New York and Boston, first "long distance".b
May 6, 1884	Failure of stock exchange firm of Grant and Ward bankrupts Ulysses S. Grant; forerunner of financial panic.b
1885	Chicago Stock Exchange opens.
Feb 26, 1885	Contract Labor Act prohibits importations of unskilled workers.b
1886	Great Plains cattle industry is devastated by drought and blizzard.
Apr 22, 1886	Spurred by widespread strikes, Cleveland urges Congress to create federal commission to mediate labor problems.b
May 4, 1886	Strikers gather in Haymarket Square, Chicago, to protest the killing of a striker the day before b the police. At the gathering, a bomb is thrown, and the police respond by firing into the crowd.a
Sep 4, 1886	Apache chief Geronimo is captured in Southwest ending significant Indian war.b
Oct 25, 1886	The Supreme Court rules that states cannot regulate railroad rates for interstate traffic.a
Dec 8, 1886	The American Federation of Labor is established in Columbus, Ohio. It comprises twenty-five labor groups representing 150,000 members.a
Feb 4, 1887	Interstate Commerce Commission is established by congress to regulate railroad rates.b
Mar 11, 1888	Great "blizzard of '88" cripples New York City and other areas.b
Nov 6, 1888	Benjamin Harrison is elected as President.
Jul 2, 1890	Sherman Antitrust Act voids contracts and combinations in restraint of interstate commerce.a
Oct 1, 1890	McKinley Tariff Act raises tariffs on manufactured goods to record levels.b
Nov 1890	Baring Brother, London Bankers, fails with repercussions in U.S. stock market.b
Mar 3, 1891	Ocean Mail Subsidy Act authorizes subsidies for merchant shipping.b
Mar 1892	Supreme Court orders Standard Oil Trust dissolved.b
Apr 19, 1892	The First U.S. automobile is built by Charles E. Duryea in Springfield, MA.b
Jul 1, 1892	Five-month Homestead strike at Carnegie Steel Company leads to serious violence.b
Jul 14, 1892	Martial law is declared in silver miners strike in Idaho.b
Nov 8, 1892	Grover Cleveland is elected as President.
Feb 20, 1893	Philadelphia and Reading Railroad is placed in receivership, heralding Panic of 1893.b
Apr 15, 1893	Issue of gold certificates is suspended by Treasury as gold reserve falls below $100,000,000 legal minimum. This sets off a national depression that lasts for four years.a
May 5, 1893	Stock prices decline sharply.
Jun 27, 1893	Stock market crash prelude to hundreds of business failures and bank closings.b
Jul 1893	Erie Railroad declared bankrupt.b
1894	Severe unemployment and many strikes.b
Jan 17, 1894	Treasury sells $50,000,000 in bonds to replenish its gold reserve.b
Mar 25, 1894	Coxey's Army of unemployed men marches on Washington from Ohio, demanding issue of paper money and public works program.a
Jul 3, 1894	U.S. troops enter Chicago to police Pullman strike, supported by general railway strike.a
Aug 27, 1894	Tariff Act imposes 2 percent income tax on incomes over $4,000.b
Nov 13, 1894	Treasury sells second issue of $50,000,000 in bonds to restore gold reserve.b
Feb 8, 1895	Treasury contracts with Morgan and Belmont to obtain $65,000,000 in gold.b
May 20, 1895	Supreme court voids income tax provision of 1894 Tariff Act.a
Aug 16, 1896	Gold is discovered in Klondike River region of Yukon in Canada near Alaska.b
Nov 3, 1896	Mckinley is elected as President.
1897	Boston completes first U.S. subway.b
Jul 24, 1897	Dingley Tariff raises duties to new highs but authorizes reciprocity agreements.b
Apr 24, 1898	Spain declares war on U.S. Congress also declares war with Spain on Apr 25.b
Jun 1, 1898	War Revenue Act imposes excises on luxuries and first federal inheritance tax, and authorizes sale of $200,000,000 in bonds at 3 percent.b
Jul 1, 1898	Uniform bankruptcy law is passed by Congress.b
Aug 12, 1898	Hostilities cease as peace terms signed with Spain.b
Mar 14, 1900	Gold Standard Act establishes gold dollar of 25.8 grains, nine-tenths fine, as standard unit of money in U.S. Also, authorizes 2 percent "consoles" to be sold to National Banks.b
Nov 6, 1900	McKinley is reelected as President.
Jan 10, 1901	The oil gusher Spindle top blasts near Beaumont, Texas, establishing the petroleum industry in Texas.c
Feb 25, 1901	U.S. Steel Corporation combining ten companies, including Carnegie; organized by J.P. Morgan, first billion dollar company.b
May 9, 1901	Wall Street panic is caused by struggle between railroad tycoons Hill and Harriman for control of Northern Pacific. The largest single-day decline in the stock market since 1803.c
Jul 25, 1901	McKinley proclaims free trade with Puerto Rico.b
Sep 6, 1901	McKinley is shot by anarchist at Buffalo, dies on Sep. 14 and Vice President Theodore Roosevelt becomes President.c
Nov 18, 1901	Second Hay-Pauncefote Treaty with Britain gives U.S. freedom to construct and fortify an Isthmian Canal.b
Jun 17, 1902	New lands Reclamation Act authorizes federal irrigation dams in West.c
Jun 28, 1902	Ishmian Canal Act authorizes President to acquire French Canal Companies' assets and to negotiate with Colombia to construct canal at Panama. Also authorizes Panama Canal bonds at 2 percent.b
Oct 3, 1902	Roosevelt intervenes in anthracite coal strike, which started May 12. (Strike ends Oct. 21).b
Feb 10, 1904	Russo-Japanese War begins.b
Mar 14, 1904	Supreme court rules Northern Securites Company violates antitrust laws and must be dissolved.b
Jun 15, 1904	Over 1,000 are killed as General Slocum burns off Manhattan.b
Nov 8, 1904	Roosevelt is reelected as President.
Apr 18, 1906	An earthquake hits San Francisco, destroying the business districts and much of the city and leaving 250,000 people homeless, 25,000 building destroyed, and 500 dead.c
Jan 26, 1907	Corporate contributions to political campaigns are prohibited by Congress.b
Mar 13, 1907	As the stock market drops, a financial panic begins, resulting in unemployment, high food prices, and bank failures by the end of the year.c
Oct 21, 1907	Run on Knickerbocker Trust Co. in New York starts "Bankers' Panic." In the coming weeks other banks and trusts fail, requiring the infusion of money from the U.S. Treasury.c
Nov 4, 1907	Roosevelt allows U.S. Steel to acquire troubled Tennessee Coal and Iron Co.b
Feb 3, 1907	Supreme Court rules that the Sherman Antitrust Act applies to labor unions and that boycotts are conspiracies in restraint of trade.b
May 30, 1908	Congress passes the Aldrich-Vreeland Act to correct deficiencies in the banking system that created the Panic of 1907.c
Nov 3, 1908	William Howard Taft is elected as President.
Aug 5, 1909	The Payne-Aldrich Tariff Act is signed by President Taft in keeping with his campaign promise to reduce tariffs.c
Jun 25, 1910	Postal Savings System to pay 2 percent interest is established.b
May 15, 1911	Supreme Court orders Standard Oil Company and American Tobacco Company dissolved for "unreasonable" restraint on trade.c
May 1912	Pujo Committee in House begins investigation of nation's financial system.b
Nov 5, 1912	Woodrow Wilson is elected as President.
Dec 2, 1912	Supreme Court orders merger of Union Pacific and Southern Pacific dissolved.b
Dec 15, 1912	About 80 percent of federal bonds outstanding is held by national banks to back note issues.b
1913	Ford introduces assembly line for mass production of autos in Detroit.b
Jan 1, 1913	Parcel post system is placed in operation.c
Feb 25, 1913	Sixteenth Amendment provides for federal income tax.c
Feb 28, 1913	Pujo Committee publishes report on "money trust."b
May 19, 1913	California prohibits land ownership by aliens.b
Oct 3, 1913	Underwood Tariff Act lowers duties of Payne-Aldrich Tariff by 10 percent. Act also imposes personal income tax with rates ranging from 1 to 6 percent.b
Dec 23, 1913	Federal Reserve Act is approved, providing for 12 regional banks in 12 districts, an elastic currency, centralized bank reserves, and "lender of last resort."c
Jul 28, 1914	World War I begins with Austria-Hungary's declaration of war against Serbia.c
Jul 31, 1914	New York Stock Exchange closes because of European Crisis. (Reopens Dec. 12).b
Aug 1914	Emergency currency is issued under Aldrich Vreeland Act.b
Aug 1, 1914	German declares war on Russia (France on Aug. 3, Britain on Aug. 4). Austria-Hungary declares war on Russia and Japan declares war on Germany in August.b
Nov 16, 1914	Federal Reserve Banks open for business.b
Jan 25, 1915	Telephone service begins between New York and San Francisco.c
Oct 15, 1915	U.S. bankers float $500 million loan to Britain and France at 5 percent.c
Sep 8, 1916	Emergency Revenue Act doubles income tax rates, adds estate tax and munitions profits tax, and establishes Tariff Commission.b
Nov 7, 1916	Wilson is reelected as President.
Feb 3, 1917	USS "Housatonic" is sunk by German submarine, and U.S. breaks diplomatic relations with Germany.b
Mar 3, 1917	Special Preparedness Fund Act provides for excess profit taxes and higher inheritance taxes.b
Apr 2, 1917	Wilson calls special session of Congress for declaration of war against Germany. (On April 4, Senate votes for war and house concurs on April 6.)b
Apr 24, 1917	Emergency Loan Act authorizes issue of $5 billion in bonds at 3.5 percent.b
Jun 21, 1917	Federal Reserve Act is amended to encourage membership, mobilize gold reserves, and facilitate issue of notes.b
Oct 1, 1917	Second Liberty Loan offers $3 billion in bonds at 4 percent.b
Oct 3, 1917	War Revenue Act doubles income taxes, provides for excess profits tax, and imposes many excises.c
Nov 6, 1917	Russian Bolshevist overthrow Kerensky's Provisional Government, placing Lenin in power.b
Dec 7, 1917	U.S. declares war on Austria-Hungary.b
Dec 26, 1917	The U.S. Railroad Administration takes charge of the nation's railroads.c
Apr 5, 1918	Third Liberty Loan offers $3 billion in bonds at 4.5 percent.b
Sep 28, 1918	Fourth Liberty Loan offers $6 billion in bonds at 4.25 percent.b
Oct 1918	Influenza epidemic hits soldiers and civilian in U.S. and Europe with many death.b
Nov 7, 1918	False armistice is celebrated in U.S. cities. Kaiser abdicates and flees to Holland on Nov. 9 and Armistice is signed by German representatives and firing stops on Nov. 11.b
Jan 29, 1919	Eighteenth Amendment prohibits manufacture and sale of intoxicating liquors.c
Apr 21, 1919	Victory loan of $4.5 billion in bonds at 4.75 percent to refund floating debt.b
Jul 27, 1919	Serious race riot starts in Chicago.b
Sep 12, 1919	Gov. Calvin Coolidge of Massachsetts orders state militia to patrol Boston, thereby breaking police strike.b
Dec 22, 1919	Attorney General Palmer begins series of "Red Raids" with many arrests as anti-Communist hysteria builds.b
1920	Postwar recession begins early in year. U.S. food prices are expected to fall 72 percent as farm prices plummet.c
Jan 17, 1920	National prohibition goes into effect. America goes dry.c
Feb 28 1920	Esch-Cummins Act authorizes ICC to promote railroad consolidations, and returns railroads to private hands.b
Feb 1920	Federal Reserve Banks raise discount rate to 7 percent.b
Nov 2, 1920	Warren Harding and Calvin Coolidge is elected as President.
1921	Bank suspensions, mainly small rural banks, jump to 466.b
Apr 20, 1921	Senate consents to treaty with Colombia, paying $25 million for loss of Panama.b
May 19, 1921	Emergency Tariff Act raises duties on farm products and embargoes German dye-stuffs.b
Aug 15, 1921	Packers and Stockyard Act provides for regulation of interstate commerce in livestock and poultry products.b
Nov 23, 1921	Revenue Act repeals corporate excess profits tax.b
Feb 6, 1922	Nine Power Treaty signed at Washington recognizes "Open Door" to China.b
Apr 1, 1922	Coal miners strike over wage cuts. (Ends with some concessions in September.)b
Jun 30, 1922	U.S. holds 47 percent of world's monetary gold stock, up from 23 percent before World War I.b
Sep 19, 1922	Fordney-McCumber Tariff Act raises duties to highest levels in history.b
Feb 1923	Senate starts investigation of corruption in Veterans' Bureau. Forbes resigns as director, later convicted and sent to prison.b
Mar 4, 1923	Secretary of the Interior Alber Fall resigns under cloud of Teapot Dome and Elk Hills oil leases investigation. Agricultural Credit Act provides for 12 Federal Intermediate Credit Banks.b
Apr 10, 1923	Oklahoma passes peroration law for oil production. (Other states follow.)b
Jan 16, 1924	McNary-Haugen Bill to support prices of farm products is first introduced in Congress.b
Jan 21, 1924	Lenin dies and is succeeded by Stalin and Trotsky.b
Jun 2, 1924	Revenue Act reduces estate and income taxes and abolishes most exercises.b
Oct 15, 1924	Treasury begins program of calling bond issues having note circulation privilege.b
Nov 4, 1924	Calvin Coolidge is elected as President.
Feb 1925	As cities and suburbs grow upward and outward, Americans spend more than $6 billion on building and construction.c
Apr 13, 1925	Henry Ford starts commercial airplane service between Detroit and Chicago.b
Nov 14, 1925	Because of a severe financial depression in Europe, the U.S. agrees to a sharp reduction in foreign war debts.e
Feb 26, 1926	Income and estate taxes are reduced, third tax cut since war.b
May 5, 1926	The United States and France sign an agreement on the war debt.c
Sep 18, 1926	Highly destructive Florida hurricane causes collapse of land boom.b
Apr 1927	Flood damage occurs in lower Mississippi Valley, worst in history (Large flood control projects activated in 1928.)b
Dec 27, 1927	Stalin becomes Soviet dictator.b
1928	Wall Street is shaken as stock prices swing wildly.c
Jan 7, 1928	"Coolidge optimism" spurs a Wall Street boom.c
May 3, 1928	Congress passes the Surplus Control Act to alleviate depressed conditions on the farm.e
May 27, 1928	Congress passes the Jones-White Act providing subsidies to U.S. shipping.c
Jul 2, 1928	Interest rates on short-term loans reach a record high of 10 percent.e
Nov 28, 1928	Herbert Hoover is elected as President.
Feb 2, 1929	Federal Reserve Board urges banks not to support stock speculation on margin purchases.b
Aug-Sep 1929	Steel and automobile production are declining and the whole economy shows signs of weakening. Yet stock market prices rise.d
Oct 1929	There have been heavy withdrawals of capital from America as England raised its interest rate to 6.5 percent.d
Oct 23, 1929	Stock prices drop in New York. (Decline accelerated on "Black Thursday," Oct. 24, and "Black Tuesday," Oct.29)c
Nov 13, 1929	$30 billion in value of listed stocks has been wiped out in the New York Stock Exchange.d
Dec 16, 1929	President Hoover signs an income tax reduction bill that would save taxpayers $160 million on their 1929 Federal taxes.e
Jan 2, 1930	With the economy sinking, agricultural and commodity prices falling, national income collapsing and unemployment approaching 4 million.d
Jun 1930	Stock market declines sharply.
Jun 17, 1930	Hawley-Smoot Tariff Act raises duties on hundreds of goods to record highs.e
Dec 11, 1930	Bank of the United States in New York closes, most significant bank failure of year.c
Dec 20, 1930	Congress authorizes expenditure of $116 million on projects to relieve unemployment. The number of unemployed is estimated at 7,000,000.e
Dec 23-26, 1930	The Chelsea Bank and Trust Company is forced to close. Three days later 20 small banks in six Southern and Midwestern states are closed.e
1931	The U.S. produces a record wheat crop, driving prices down and precipitating further financial crisis in the farm belt.c 2,294 bank failures during the year, at least 9 million unemployede
May 11, 1931	Kredit-Anstalt, Austria's largest bank, fails with worldwide repercussion.b
Jun 20, 1931	Hoover proposes and other nations accept one-year moratorium on all intergovernmental debts, including reparation, effective in July.c
Sep-Oct 1931	The bank panic increases as over 800 banks are closed in two months.e
Sep 21, 1931	Britain abandons gold standard.b
Sep 22, 1931	U.S. Steel announces that it will cut the wages of 220,000 workers by 10 percent.e
Dec 8, 1931	Hoover calls for increased taxation to make up for the deficit of $900 million.e
1932	Farm prices are 60 percent below 1929, and industrial production is 46 percent below 1929.
Feb 27, 1932	Glass-Steagall Act allows federal securities as well as eligible paper to be used to back Federal Reserve Notes, up to 60 percent.b
Feb 29, 1932	Britain raises protective tariff, including new "Corn Law."b
Jul 2, 1932	Franklin Roosevelt pledges "New Deal" in accepting Democratic nomination for President.b
Jul 7, 1932	The Dow Jones Industrial Average reaches an all-time low of 41.22.c
Jul 21, 1932	President Hoover signs the Emergency Relief Act to provide for $300 million in loans to states unable to raise money for relief purposes.e
Aug 26, 1932	Comptroller of the Currency orders moratorium on foreclosures of first-mortgage loans.b
Nov 8, 1932	Franklin Roosevelt is elected as President.
Dec 1932	Treasury Certificates are sold at record low of 0.75 percent.b
Dec 15, 1932	Six nations, including France and Belgium, default on war debt payments to the U.S.c
1933	Unemployment rates reach 25 percent of labor force.b
Feb 6, 1933	Governor Comstock of Michigan orders bank holiday. (About 20 other states follow.)b
Mar 5, 1933	Roosevelot declares national "bank holiday" and embargoes exports of gold. (Banks reopen on Mar. 13)c
Mar 9, 1933	Emergency Banking Act empowers the Treasury Department to control various transactions in currency, credit, and bullion.e
Apr 19, 1933	The Roosevelt administration abandons the gold standard for American currency in the international transactions.c
May 12, 1933	Thomas Amendment to Emergency Banking Act allows direct purchase of federal securities by Federal Reserve Banks and allows Federal Reserve Board to double reserve requirements of member banks.b
Aug 17, 1933	Employment has reached the level of Oct. 1931.e
Nov 8, 1933	The Civil Works Administration is set up to create jobs for 4 million workers.e
1934	The worst drought and subsidy increase farm prices markedly. The stock market turns upward, and industrial production increases slowly.e
Jan 30, 1934	Gold Reserve Act authorizes President to revalue dollar in terms of gold. (On Jan. 31 Roosevelt raises price of gold from $21 to $35 per oz.)b
Feb 15, 1934	Congress appropriates $950 million for civil works and direct relief.b
Apr 12, 1934	Senator Nye begins investigation of corporate profits in World War I.b
Jun 6, 1934	Securities and Exchange Commission is established, providing penalties for manipulation of stock prices and authority to set margin requirements on stock purchases.c
Jun 12, 1934	The Reciprocal Trade Agreement Amendment to the Smoot-Hawley Tariff is passed by Congress, reducing tariffs by up to 50 percent.c
Jul 16, 1934	Strike of International Longshoremen in San Francisco leads to nation's first "general strike."b
Jan 4, 1935	Roosevelt outlines his plans for expanding the New Deal into areas of social reform.e
Feb 16, 1935	Congress passes the Connally Hot Oil Act, regulating the production of crude oil and providing penalties for excess oil production.c
Apr 8, 1935	Congress appropriates $5 billion to provide "work relief".d
Aug 14, 1935	Roosevelt signs the Social Security Act, including pensions and unemployment insurance.d
Aug 30, 1935	Inheritance and gift taxes, and personal and corporate income taxes are increased.b
Jan 1, 1936	One percent payroll tax is imposed to provide unemployment insurance.b
Sep 25, 1936	The U.S. agrees to fix the exchange rates between the pound, the franc, and the dollar.e
Nov 3, 1936	Roosevelt is reelected as President.
Apr 20, 1937	Roosevelt asks Congress to appropriate $1.5 billion for relief, which represents a considerable drop from previous expenditures.e
May 30, 1937	In "Memorial Day Massacre", Chicago police kill ten people during demonstration by steel workers.b
Aug 1937	Discount rate at New York Federal Reserve Bank is reduced to 1 percent, where it remains until Jan. 1948.b
Sep 1937	Business activity starts to decline and stock prices drop.e
Apr 14, 1938	In response to the continuing recession begun in 1937, Roosevelt asks Congress for $3 billion to spend on relief.e
May 27, 1938	Congress reduces the corporation profits tax.c
Jun 1938	Federal bank supervisory agencies agree to allow banks to carry high grade bonds at amortized book value regardless of market prices.b
Oct 30, 1938	"Martian" invasion, radio drama presented by Orson Welles, causes widespread panic.b
Jan 4, 1939	Roosevelt asks Congress to approve a defense budget of $1.3 billion.e
Jun 29, 1939	Flat 18 percent tax rate set for corporations; undistributed profits tax repealed.b
Jun 30, 1939	The Emergency Relief Appropriating Act provides $1.5 billion for WPA.e
Sep 1, 1939	Germany invades Poland, starting World War II. (Britain and France declare war on Germany on Sept. 3)c
Sep 1, 1939	Federal Reserve Banks announce willingness to lend to all banks on federal securities at regular discount rates.b
Jan 3, 1940	Budget asks $1.8 billion for defense.b
Jun 10, 1940	Italy declares war on Britain and France.b
Jun 25, 1940	Revenue Act increases taxes substantially.b
Jul 10, 1940	Roosevelt asks Congress for additional $4.8 billion for defense.b
Oct 8, 1940	Second Revenue Act of 1940 raises corporate tax rate to 24 percent, and imposes excess profits tax.b
Nov 5, 1940	Roosevelt is reelected as President.
May 21, 1941	U.S. merchant vessel Robin Moor is sunk by German U-boat and Roosevelt declares Unlimited National Emergency on May 27.b
Jul 24, 1941	Japan invades Indo-China and Roosevelt freezes Japanese assets in U.S. and virtually stops trade.b
Sep 20, 1941	Tax increases sharpely.b
Oct 1, 1941	Ten percent luxury tax is imposed on many items.b
Dec 7, 1941	Japanese bombers attack Pearl Harbor, sinking or disabling several old battleships.b
Dec 8, 1941	U.S. declares war on Japan.b
Dec 11, 1941	Germany and Italy declare war on U.S.; U.S. then declares war on them.b
Dec 15, 1941	The Supplemental Defense Act appropriates $10 billion.d
Apr 30, 1942	Federal Reserve Banks are required to buy all Treasury bills offered at 3/8 percent.b
May 1942	Treasury offers first "tap" issue of 2.5 percent bonds to investor other than commercial banks.b
May 18, 1942	Retail price ceiling is imposed.b
Jun 30, 1942	Congress appropriates $42.8 billion for the armed services.d
Oct 21, 1942	Taxes are increased by $9 billion and five percent Victory tax is introduced on all incomes over $624.d
Dec 1, 1942	Nationwide gas rationing begins.c
Mar 29, 1943	Meat, fat, and cheese rationing begins.c
Apr 8, 1943	Executive order freezes wages and salaries.b
Apr 12, 1943	Second War Loan drive sells $18.6 billion of securities, as much as all five bond drives of World War I.b
May 12, 1943	German resistance ends in North Africa.b
Jun 9, 1943	Current Tax Payment Act provides for withholding of income taxes on wages and salaries and this withholding begins on July 1.b
Jul 25, 1943	Italian coup removes Mussolini from power.b
Sep 8, 1943	Italy surrenders unconditionally.b
Jul 1-30, 1944	United Nations Monetary and Financial Conference at Bretton Woods, 44 nations attending, blueprints International Bank for Reconstruction and Development, and International Monetary Fund.c
Nov 7, 1944	Roosevelt is reelected as President.
Apr 29, 1945	German forces in Italy surrenders to Allies. (Hitler commits suicide in Berlin on Apr. 30 and German surrender unconditionally to Allies on May 7.)b
Jun 12, 1945	Congress reduces gold reserve requirements for Federal Reserve Banks from 40 percent on notes and 35 percent on deposits to 25 percent on both. Also power to issue Federal Reserve Bank Notes (without gold backing) ended.b
Aug 14, 1945	Japan's surrender is proclaimed by Truman.b
Aug 18, 1945	President Truman orders the full restoration of civilian consumer production, collective bargaining, and the return of free markets.c
Nov 8, 1945	Revenue Act reduces wartime taxes by $6 billion, and ends excess profits tax.b
1946	By far worst year in history for strikes, with 116,000,000 man-days lost (Unions, unable to strike during the war years, do so now on a massive scale).e
Jan 12, 1946	Industrial recon version is all but 10 percent complete, and the unemployed reach 2 million out of a total labor force of 54 million.e
Jan 15, 1946	Electrical workers' strike begins. (Meat-packing strike on Jan. 16, and nationwide steel strike on Jan. 20.)d
Mar 1, 1946	Preferential discount rate of 0.5 percent loans is secured by governments ended.b
Apr - May, 1946	A strike by 400,000 members of the United Mine Workers shuts down coal production.e
Apr 29, 1946	Farm prices are at record highs.d
Jul 1946	Stock prices, rising since mid-1942, begin sharp decline.b
Jul 15, 1946	President Truman signs a bill extending wartime price controls for one more year.d
Jul 15, 1946	U.S. loans Britain $3.75 billion to help economic reconversion.b
Sep 5, 1946	The worst maritime strike in history stops all shipping in the United States.c
Nov 9, 1946	Wage and price controls are ended except for rent, sugar, and rice.b
Jan 1948	Discount rate is raised from 1 to 1 1/4 percent.b
Aug 16, 1948	The Federal Reserve System attempts to slow down installment buying by raising interest rates.c
Aug 18, 1948	Federal Reserve Board is empowered temporarily to increase bank reserve requirements.b
Aug 25, 1948	The consumer price index reaches a record high.c
Nov 2, 1948	Truman is elected as President.
Oct 26, 1949	Truman set a minimum wage of 40c to 75c an hour for certain industries engaged in interstate commerce.c
Dec 1, 1949	Midwest Stock Exchange formed by merger of Chicago and other regional exchanges opens.b
Jun 25, 1950	North Korean Communist forces invade South Korea. The outbreak of the Korean War sends stock prices tumbling and commodities prices soaring.c
Aug 4, 1950	Joint statement by the Federal Reserve Board and other supervisory agencies urges lenders to restrict speculative and inflationary loans.b
Sep 15, 1950	U.S. force land at Inchon, port of Seoul, outflanking Communist forces.b
Sep 23, 1950	Personal and corporate income taxes are increased.b
Oct 10, 1950	Federal Reserve Board issues Regulation X restricting credit on mortgage loans.b
Dec 16, 1950	Chinese Communist forces come to aid of North Korea, and Truman proclaims national emergency as Chinese drive U.S. forces southward.b
Jan 12, 1951	Truman demands higher taxes to put the U.S. military on a "pay-as-you-go basis."c
Jan 17, 1951	Margin requirements on stock purchases are raised from 50 to 75 percent.b
Mar 4, 1951	Treasury-Federal Reserve "accord" is announced under which the Federal Reserve will cease to support long-term government bonds at par.b
May 7, 1952	Federal Reserve Board ends installment credit controls.b
Jun 11, 1952	Regulation X, which restrict credit on mortgage loans and construction credit controls are eased.b
Jan 1953	Discount rate is raised 1.75 to 2.0 percent.b
Feb 20, 1953	Margin requirements on stock purchases are reduced from 75 to 50 percent.b
Mar 5, 1953	FOMC votes to confine open market operations to short-term securites ("Bills Only"), except to correct "disorderly markets."b
July 1953	Recession begins.b
Jul 27, 1953	Korean armistice goes into effect, ending hostilities after three years.b
Jan 1, 1954	Taxes are reduced by $5 billion, excess profits tax expires and personal tax rates are reduced.b
Mar 10, 1954	Excise and federal luxury taxes are reduced by 50 percent.d
Jun 1954	Member bank reserve requirements are reduced. (Discount rate cuts had been made in Feb. and Apr.)b
Aug 16, 1954	Internal Revenue Code of 1954 allows accelerated depreciation and makes extensive changes.b
Sep-Oct 1954	The recession ends as consumer credit rises for six straight months.c
1955	Full employment, rising personal income, increased consumer spending.e
Jan 4, 1955	The Federal Reserve Board raises the required down payment for purchasing stock to 60 percent to dampen speculation.c
Jan 13, 1955	The Chase National Bank and the Bank of the Manhattan Company are merged into the nation's second-largest bank.c
Feb 22, 1955	Eisenhower submits to Congress ten-year, $100 billion highway construction program blueprint of the interstate system.b
Aug 12, 1955	Minimum wage is increased from 75 cents to $1 per hour.c
Sep 26, 1955	As a result of the President's heart attack, the stock market suffers its worst one-day loss in history.e
Jun 29, 1956	Federal Aid Highway Act authorizes $33.5 billion over 13 years. (This was start of 41,000 mile interstate system.)b
Oct 29, 1956	Suez Crisis; Israeli, British, and French forces attack Egypt and seize Suez Canal.b
Jan 1, 1957	Ceiling rates on bank time and saving accounts are raised to 3 percent.b
Jun 3, 1957	Supreme Court rules du Pont's ownership of 23 percent of General Motors stock violates antitrust laws and orders divestiture.b
Sep 1957	Sharp recession begins.b
Jan 1958	Discount rate is reduce 3 percent to 2.75 percent. (Reserve requirement reductions and further discount rate cuts in following months.)b
Apr 1, 1958	In order to cope with the current recession, Eisenhower signs into law a bill appropriating $1.85 billion for emergency housing.e
May 1958	Business expansion begins.b
Jan 19, 1959	Eisenhower recommends continuation of a 52 percent tax rate on corporate profits.c
Jul 15, 1959	Nationwide strike cuts steel output by 90 percent (116-day strike is by far the longest on record in the industry.)b
Jul 22, 1959	The consumer price index reaches a new peak (124 percent of the 1947-1949).c
Jul 28, 1959	Federal Reserve Act amendments allow member banks to count vault cash as required reserves, and eliminate "central reserve city" classification.b
May 13, 1960	Bank Merger Act requires that mergers of insured banks be approved beforehand by federal supervisory agencies.b
Aug 7, 1960	Castro confiscates assets of U.S. companies in Cuba.b
Nov 8, 1960	Kennedy is elected as President.
Nov 16, 1960	Emergency measures are ordered to correct growing deficit in balance of payments.b
Dec 8, 1960	Large producers of electrical equipment admit guilt on antitrust charges. (Seven executives are sentenced to prison on Feb. 6)b
May 5, 1961	Minimum wage is raised to $1.25 per hour and coverage extended to 3.6 million workers.c
Aug 1961	Congressional hearings on Report of Commission on Money and Credit.b
Jan 23, 1962	The merger of American Airlines and Eastern Air Lines is approved, creating the world's biggest airline system.f
Feb 3, 1962	A ban on almost all trade with Cuba, effective Feb. 7, was ordered by Kennedy.f
Mar 2, 1962	President Kennedy announces that Soviet advances in nuclear weaponry will force him to order a resumption of U.S. atmospheric testing (US testing is resumed on April 25).e
Apr 10, 1962	Some of largest steel companies post price increases following labor settlement. Increases are cancelled Apr. 13 after Kennedy invokes antitrust measures.b
May 28, 1962	The NYSE experiences its greatest loss since 29 Oct. 1919.c
Jul 11, 1962	Treasury liberalizes depreciation guide-lines substantially.b
Sep 15, 1962	President Kennedy signs into law a $900 million public-works bill for projects in economically depressed areas.c
Oct 16, 1962	Revenue Act allows 7 percent investment tax credit for long-lived assets.b
Oct 22, 1962	In "Missile Crisis", Kennedy orders military measures against Russian rocket bases being constructed in Cuba. (Russia agrees to withdraw missiles on Oct. 28)b
Jan 24, 1963	Kennedy proposes large tax reduction to stimulate economy, but Congress does not pass measure.b
Jun 4, 1963	Act of Congress repeals Silver Purchase Act and authorizes issuance of Federal Reserve Notes in $1 and $2 denominations to replace silver certificates.b
Nov 22, 1963	President Kennedy is assassinated.b
Feb 26, 1964	Revenue Act cuts personal and corporate income taxes, accelerates corporate payments, and liberalizes investment tax credit.c
Aug 5, 1964	U.S. aircraft bomb North Vietnam.b
Sep 2, 1964	Interest Equalization Tax discourages foreign loans.b
Mar 3, 1965	Gold reserve requirement of 25 percent of Federal Reserve deposit liabilities are eliminated.b
Jun 21, 1965	Excise taxes are reduced by $4.6 billion.b
Dec 6, 1965	Ceiling on time deposits and CDs is raised to 5.5 percent. Discount rates at New York and Chicago FRBs are raised from 4 to 4.5 percent.c