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Crisis and Bankruptcy: The Mediating Role of State Law, 1920–1932
Published online by Cambridge University Press: 30 May 2012
Abstract
The onset of the Great Depression did not spark a surge in personal bankruptcy. For debtors in default, state garnishment law played a significant role in the decision to file for bankruptcy. Only states that made it easy to garnish a debtor's wages experienced significant increases in bankruptcy as a consequence of the Depression.
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