The article explores historical bank supervision and responses to financial crises. It looks at different regulatory regimes in the US from the Civil War to 2008, finding that simpler regulations in the past were more successful in limiting risk-taking. The establishment of the Federal Reserve in 1913 changed bank supervision norms, leading to fewer bank failures and smaller losses for depositors. During the National Banking Era, regulations were simpler, and banks were promptly closed if they seemed insolvent. Double liability for shareholders also encouraged weak banks to close before failing, resulting in minimal losses to depositors.