1. what were the causes of the Stock Market Crash?
- because there was so much money to be made, common people began to play the stock market with money borrowed from banks.
- **stock-where people own a little bit of the company/share onwership.
- buying on credit-because people were in debt they stopped buying things and distributing money into the economy.
- overvalued stocks- investors expected the value of stocks to continue to increase. never considering that eventually the upward trend would cease.
- buying on margin-allowed more middle class people to invest large amounts of money into the stock market. buy now pay later!
- over production-the drop in value of wheat stocks greatly contributed to the stock market crash of 1929 as a whole. greatly affected the people but most of all farmers.
- no government regulations-not set good enough regulations for banks. no requirement for minimum capital to start a bank had been made. no limit to how much banks could lend out had been set.
- affected not only the U.S but all around the world.
- a lot of people played the stock market.
2. causes of the Great Depression?
- stock market crash- main cause of G.D. though it regained some of its losses, it was not enough by the end of 1930.
- bank failures-deposits were uninsured and as banks failed lost their savings. during the 1930's 9,000 banks failed.
- drought conditions- drought caused people not to pay their, and debts. people had to sell their farms for no profit. name is the dust bowl.
- dust bowl-dust storms and destroyed parts of Ag production,
- American economic policy with Europe- it charged a high tax for imports. led to less trade between America and other countries.
children:
- children would write to presidents for help: shoes, clothing, and money.
- child labor laws were formed.
- the children would run from home.
- the girls dressed like boys.
- boxcar kids-children that ran from home and lived on railroads.
men and women:
- men felt like failures.
- women felt as if their household jobs were enhanced.
- there was not a lot of money to live off of at that time.
- a lot of men just left their family.
families:
- marriages were put off couldn't afford it.
- divorces were put off couldn't afford it.
- birthrates dropped.
- family income dropped 34%.
Farmers:
- corn prices dropped/ they burned their corn because they could afford their own coal.
- children had to wear flour sacks for clothes.
- used what they could off of the land.
living conditions:
- hoovervilles- a town made from any kind of material found.
- homeless- the homeless were living anywhere they could including park benches and under news papers.
jobs:
- more and more people were looking for jobs and because pf that most of the obs were given out to the whites.
- women were usually fired die to the fact that it was thought that they were take jobs from the men.
- getting a job was essential to living at the time.
dust bowl:
- it was a drought and over plowing.
- it was a total of 8 years. longest drought in history.
i presented today with my group.
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