Great Depression of 1929 and Its Impact on Poor White Groups

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HIS 109 Great depression of 1929 and its impact on poor white groups In the late twenties, in the USA, the stock market business was so flourishing that people from different horizon such as the teller at the bank and the cashier at the grocery store, just to mention a few, would put their money into the stock market and become rapidly rich. Driven by all the joy brought by stock market, candidate Herbert Hoover, during his campaign in 1928 even bolding promised to wiped out poverty on America soil. However , on October 29, 1929 the stock market crashed and plunged The United States in its worst economic crisis. This chaos has been caused by different factors and has terribly affected some groups among which we can cite: The Poor White. The collapse of stock market happened because it had a weak foundation. In fact, it was dependent on borrowed money; banks would lend money to the population to buy shares in the market without making sure the borrowers were able to pay back. Moreover, facing the crisis over nine thousand banks were obliged to close, for they invested their client's savings in the stock market. Going through rough time financially, Americans are drastically forced to reduce their spending which lowered the amount of production; therefore, employers slashed the numbers of employees that caused the unemployment rate to rose from 4.2 in 1928 to 8.7 in 1930 and to 23.6 in 1932. In the middle of the crisis, several social classes experienced a harsh time. For instance, some of The Poor White of the Southern States, who relied on their agricultural for living, abandoned their farm and moved out of state because of debts and the rejection of banks to lend them money to run their farms. Other worked in farm of rich and gave a part of the harvest to the owners of the land to compensate the rent. Other lived on street having no places to go. To sum up,

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