Today was a blog discussion day.
Causes of the Stock Market Crash
Stock prices were over valued, overspeculation during the 1920's, uneven distubution of wealth, too much borrowing from banks, stock prices were grossly inflated- didn't have real value.
Federal Reserve increased intrest rates- to try to stop people from buying things, when they did this, they crashed the whole economy because people got scared and sold their stock.
Lack of government regualtion. people started selling stock becuase they were nervous, buying on credit, buying on margin- buy stock on credit.
Effects- investors and businiesses lose millions of dollars, thousands of banks failed, businesses cut production- laid off workers, unemployment rises- people quit spending money, Great Depression set in, Depression spreads to Europe and other parts of the world.
Causes of the Great Depression
1. 1928 Election(466)
2. Stock Market in the 1920's(466-468)
3. Story of the stock market crash-not the causes(467-469)
4. Banks and business' collapse(469)
5. Effect stock market crash had on other countries(469-471)
6. Depression in the cities(472-473)
7. Depression in the rural areas(473)
8. Dust Bowl(474)
9. Men in the Streets(475)
10. Women struggle to survive(475-476)
11. Children suffer hardships(476)
12. Social and psychological effects(477)
13. Hoover's background
14. Hoover's philosophy/Cautious steps(479)
15. Boulder Dam(480)
16. Democrats win 1930 Congressional elections(480)
17. Hoover takes action(481)
18. Bonus Army(482-483)
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