Monday- Talked about semester test questions, went over stock trading game.
-Consumerism- the belief that it is good to spend their money to buy goods and services.
-Buying on credit- using a credit card to buy goods and services. (buy now pay later)
Republican Philosophy of Harding, Coolidge, Hoover-
-Laissez-faire, rugged individualism, trickle down theory- Laissez Faire- leave businesses alone. Rugged individualism- the government will not bail you out. Trickle down theory- you give tax breaks to the rich and it will eventually trickle down into the middle and lower class.
-Stock- buying a piece of a company.
-Stock market- buying and selling stock.
-Dow Jones Industrial Average- The top 30 companies stocks.
-Buying on margin- borrowing money from broker to purchase stock.
-Watered stock- an asset with an artificially inflated value.
-Stock pooling- two or more people putting their money in a stock together.
-Speculation-with stocks- stock with large risk.
-income inequality- income distributed in an unequal manner.
-Federal Reserve Board- The governing body of the Federal Reserve System. The seven members of the board of governors are appointed by the president, subject to confirmation by the Senate.
Tuesday- continued topics from yesterday.
Wednesday- Watched a video on the wealth inequality of our country. Took notes.
causes of the stock market crash- stock prices were grossly inflated, did not have real value-watered stock. Over speculation during the 1920's led to watered stock. Buying on margin, led to people being in debt and watered stock prices.
Overproduction of goods- companies would produce more goods than they could sell so they were losing money and people would start selling their stock. Uneven distribution of wealth- people were in debt. Too much borrowing from banks put people in debt. Federal Reserve increased interest rates. Lack of government regulation.
Thursday- continued watching the video
Friday-
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