We started off today with a little review about the stock market crash and then we kept going with our first blog discussion from last week.1929 movie-What is pooling? Wealthy people buy a bunch of cheap stock, the common guy wants in, the rich guy is the one selling it so they get a lot of money.Federal Reserve board in this time? Saw that the stock market was getting worse so they rose interest rates and then people got freaked out. Less people borrowed money from them because they couldn't pay off the loans, then nobody had money to buy anything and they were on debt.Thursday before Black Tuesday? The stock market was on a huge low.Friday before Black Tuesday? The stock market rebounded.Over the weekend? People got nervous.Black Tuesday? Stock market crashed, nobody was buying, everybody was selling, buying on margin hurt a lot of people really hard.What did rich people try to do? Offered a lot of credit on Thursday. Then on Black Tuesday they invested their millions to try and bring up the whole crash by them selves.Causes of the Great Depression-High tariffs, Holly smoot tariff act. More people would buy American items because exports would be to expensive. Other countries that traded with us did the same because they didn't want to buy our expensive products, world trade pretty much stopped.-Drought of 1930, farmers couldn't keep their farms and sold everything to try and pay off debt-Companies closing down because they couldn't make enough money.-People weren't buying because they had no money, the companies wouldn't get any money and it was a huge cycle.-Uneven wealth, rich got richer poor stayed the same.-Agriculture, farmers had so much surplus good and there was nothing to do with them after WWI.-Stock market crash.Intro to new project-Agricultural Adjustment Act(1st and 2nd)(AAA), is my topic.-Breann Lehr
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