Monday-presentations (ending of 1920's and beginning 1930's)
1929 Stock Market crash-What is a stock-buying a share of a company, you have rights and asset and earnings of the company. What is a stock market-market exchange of stock. Stock market crash- stocks loose their money causing people to panic. Credit BOOM- rapid expansion of lending by financial institutions. People got loans from the bank into buy stock and were unable to pay back when loans were due. Buying on the margin-you could pay 10-20% of a share and meant you were borrowing 80-90% of shares. Effect of this was getting more money per share, this created "Margin Millionaire" once the stock profits fell it wipes most of them because the owed large amounts of money. Mismatch between production and consumption-over production. Companies were making all of the productions. People were unable to buy all of these things once they lost all of their money in the crash. There were a lot of left over products. Weakness in the bank system- 30,000 banks in America, Prone to becoming bankrupt if they were to run out of funds/deposits. Many banks in rural area went bankrupt due to agricultural recession. (over production in farm goods) Over view-October 24, 1929- 12,894,650 shares were traded. October 29, 1929-Wall street investors traded in 16 million shares. Billions of dollars were lost and thousands of investors wiped out. Unemployment before-1,550,000 people. Unemployment after- 12,830,000 people(at peek of depression 1933) Over half of US banks shut down.
Nicknames of the 20's- The roaring 20's, Republican Era, The jazz age, The lost generation, Boom to bust, Decade to Normalcy, Prosperity decade,Prohibition Era, Advertising age,golden age of sports, Era of permanent prosperity. Karl Marx-came up with communism theory, and didn't agree with Capitolism. After Vladimir Lenin dies Joseph Stalin takes over.
Tuesday-Watch video
Wednesday-1920's review- Republican presidents(Harding,Coolidge, Hoover)Trickle-down theory- cut back the tax fro the rich and help out the poor. Laissez-faire- government will not touch the business's. Rugged individualism-work for yourself don't and rely on the government. Normalcy-AMERICA FIRST. Teapot Dome Scandal-Albert Fall secretly leased land to private oil companies, found out that he got really rich suddenly. Became a big scandal. Impact from cars was very big because everyone can have one. and it created a lot of jobs because of manufacturing. People could live further away. People could go on vacation now. History of NASCAR- bootleggers had to outrun the cops during the prohibition era. Drivers modified their cars a lot to make them faster. Democrats in the cities and Republicans in the country area. Cities are full of heathens, but country people were god loving people. Alcohol was legal for medical reasons and church. Prohibition created more crime other than stopping it or slowing it down. Bootlegging- people that transported or made alcohol. Bootleggers didn't have to worry about the cops but other bootleggers that hijacked the moonshine. People died from drinking moonshine because it wasn't government approved. Speakeasies-secret bars that hid from cops and when the cops did come they hid all the alcohol. Economy- got higher during the 1920's. Cult of Domesticity-piety-the woman was very godly. Purity-save yourself until marriage. Domesticity-stay at home clean and cook. Submissiveness-Husband becomes the head of the house and the woman is kind of his property. Pink collar jobs-jobs women were meant to do(nurse, secretary, telephone operator.)
Thursday-more of 1920's review-Clara Bow(was THE flapper) She was the leading sex symbol of the 1920's. People came around and measured the length of women swimming suits. Flag pole sitting, just doing it for fun. Cotton club-Whites went to there to enjoy jazz music . Cause of the crash- the stock market crashed because the stock prices kept going up and they were over inflated(over value), companies were losing money. Buying on margin-put people in debt and watered stock prices. Over production of goods-companies kept making things and nobody was buying anything. People began borrowing too much money from the banks, and lead people to debt. Federal Reserve system increased interest rates kind of made the stock market crash. Lack of government regulation-government wasn't involved with the stock markets. Polling-when people buy a lot of stock from a small business the price goes up. and they began owning the business. They made millions of dollars off of these people.
Friday-watch the bust video
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