https://padlet.com/ggosne0096/omplc97c57ua How and why it happened en-us 2017-11-09 21:31:53 UTC 2017-12-19 15:49:21 UTC hello@padlet.com ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205517793 A stock market crash is a sudden dramatic decline of stock prices across a significant cross-section of a stock market, resulting in a significant loss of paper wealth. This happened on "Black Tuesday" on October 29, 1929. It was the end of the Roaring 20's and the start of what would become known as The Great Depression. This happened because our economy started to be based off Credit. Our economy looked like it was booming on the outside but on the inside, it was all fake.]]> 2017-11-09 21:33:48 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205517793 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205519118 The American economy in the 1920's was unbelievably good. Everyone had money, everyone went to parties, and everyone just had a good time. Credit was introduced to the US in 1920's historians believe. During the 1920's American consumers bought 60 to 75 percent of cars, 80 to 90 percent of furniture, 75 percent of washing machines, 65 percent of vacuum cleaners, 18 to 25 percent of jewelry on credit. It looked like the economy was booming and doing great but it was all built on a lie. You can only build so many things on top of credit.  The installment plan is said to be one of the most major causes of the Great Depression. ]]> 2017-11-09 21:39:03 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205519118 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205520641 A stock speculation is a stock with a high degree of risk. A speculative stock may offer the possibility of substantial returns to compensate for its higher risk profile. Speculative stocks are favored by speculators and investors because of their high-reward, high-risk characteristics. Right before the stock market crash there were a lot of High Risk stocks. It is also said to be a major cause of the Great Depression and in my opinion, the one most closely tied to it. ]]> 2017-11-09 21:44:55 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205520641 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205522119 The Smoot-Hawley Tariff Act is a U.S. law enacted in June 1930 which caused an increase in import duties by as much as 50%. The Smoot-Hawley Tariff Act goal was to increase U.S. farmer protection against agricultural imports. The increase in this tariff added economic strain to countries during the Great Depression. It only made things worse. ]]> 2017-11-09 21:51:07 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205522119 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205522532 During the 1920's since everyone was buying everything on credit, their was a high demand of things. So all companies made a lot of everything because they thought that they would sell very quickly like they had in the past 9 years. When the stock market crashed and no one had any money and people stopped buying things on credit, companies were left with millions of products no one was going to buy. This helped make the Great Depression worse also. ]]> 2017-11-09 21:52:59 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205522532 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205523646 During World War 1 farmers had a job to make as much food as they can for our troops. Well when the war ended, all the farmers were left with a lot of extra food. There was no longer a huge demand for it anymore and although their food was selling, it wasn't selling fast enough. So all the farmers had to mark down the prices of their food so it would sell better. This did not work as well as they thought because people were so poor they could not afford to buy food. When people didn't buy their food this made the farmers poor also which just worsened the Great Depression. ]]> 2017-11-09 21:57:25 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205523646 ggosne0096 https://padlet.com/ggosne0096/omplc97c57ua/wish/205524587 A bank run occurs when in a fractional-reserve banking system, a large number of customers withdraw cash from deposit accounts with a financial institution at the same time. This happened right after the stock market crash. All the banks ran out of cash and were stuck. Roosevelt then made all banks close down for 4 das and called this "bank holidays". This was a way to have time to sort things out and come up with plans. ]]> 2017-11-09 22:01:34 UTC https://padlet.com/ggosne0096/omplc97c57ua/wish/205524587