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L 0 1 2 3 The purpose of the Reconstruction Finance Corporation was to ±0000 rebuild the federal banking system, to better regulate currency, and increase the stability of American financial institutions. provide direct, low interest loans to unemployed homeowners in order to reduce home foreclosures. loan money to financial institutions to prevent financial institutions and insurance company bankruptcies. fund the construction of inexpensive housing for the growing number of homeless Americans.
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