It was a perfect storm. Two earthquakes, a real one in San Francisco and the other in the realm of Finance in New York, though seemingly unrelated would play a role in fomenting a crisis that would have long-lasting consequences for the monetary policy of the United States. The Panic of 1907 was 20th century’s first global financial crisis. It was a six week stretch of run on Banks and Trusts in New York City and elsewhere in October and November of 1907. Out of this panic was born, the Federal Reserve system.
Here is why the Fed could create a depression:
https://arkominaresearch.substack.com/p/why-fed-could-create-depression?r=1r1n6n