Not enough money and too much stress lowers the quality of life that people have, and their standards of living also drop, as they are forced to get by with cheap, low-quality items (Nickels, McHugh & McHugh, 2010). Walmart has changed how the retailer and the manufacturer negotiate prices. The manufacturer used to be the one to tell the retailer, "I can make this for you for this much." But Walmart has become so big, so important, that now they
Known also as Black Tuesday, October 29th left stockholders shattered with recorded losses reaching $40 billion dollars (Kelly, n.d.). Many banks and financial institutions began collapsing which led to irretrievable, uninsured deposits and savings. Fearing further loss, people began spending less which led to a decrease in production and an increase in unemployment. As companies began to fail, the government devised the Smoot-Hawley Tariff in order to protect American businesses. The Tariff placed high taxes on imports leading to a decline in international trade.
1. From your understanding of the Sarbanes-Oxley Act, explain how you feel it may negatively affect America’s stock exchanges. The higher than expected costs for many public companies caused some companies to abandon their public status. The costs of SOX compliance negatively affect companies, markets, investors, and economic growth. Fewer companies are willing to enter the market because of the SOX requirements that make going public too costly.
The Great Depression was unexpected, yet inevitable. The stock market prices were inflated to nearly breaking point, but there were no actions to show for it. Eventually, people started to realize nothing was resulting from all the stock buying - and panicked. Everyone started selling as much as they could, as fast as they could so they could still make some profit. The major economic figures of the time tried to sustain the stock market by investing all they could, but to no avail - the prices took a huge tumble, and it would be a long time before they would manage to rise up again.
This means that the prices for stock were too high, far higher than they were really worth, then they fell drastically. People who had borrowed money to buy high-priced stocks (intending to sell the stocks at a profit and repay lenders), went bankrupt. That’s further expounding on what I said about buying on margin. Black Tuesday also marks the beginning of the great depression (Regan3). Living conditions during this time were unsanitary and horrible.
Prices in gas have changed how much food cost since the transportation of these goods needs gas. This rising tide has also sent the price of rubber and plastic product soaring. Yet, the biggest problem due to these prices is car sales. Transportation of food in America is mainly by semi-trucks or trains. With the cost of diesel gas almost breaking five and a half dollars per gallon, many companies cannot afford to transport their product.
Most bought their stocks on margin which means they still owe money. When the stock market crashed, the value of their stocks went down but they still had to pay every penny that they owed before even though the value went down. Many people panicked and tried to all sell their stocks at the same time which brought the prices and values down even more. The Great Depression had a huge effect on businesses because it they lost their fortune and many went bankrupt. They were forced to lay off all of their workers and close down.
This could cause some conflict in the government which would not help matters either. 15 million Americans are still out of work, and many citizens are questioning whether or not they should have trusted Obama. Gas prices have been a major topic as of late, and they will most likely continue to get worse unless a major change is made by Obama and the rest of the Democratic nation. The national average gas price has gone up a whopping 25 percent since Obama became President. The Democrats blame the Republicans for this high cost of gasoline because they link Republicans to big oil companies.
Since 1991, gas prices were maybe close to two dollars even for a gallon. A whole decade and some years later, gas prices are roughly $4.50 a gallon. These ridiculous jump in numbers have brought the value of currency down. Economy is bad, insurance policies went up, and people become more irritated as these absurd state of affairs keep happening. What is just as preposterous is how the upper, middle, and working classes differ in cultures because of their financial circumstances they find themselves in.
Every since people figured out how to use gasoline, everyone has complained about wasting it. But within the past decade, that issue has grown tremendously. With gas prices rising and the economy falling, people are stressing about the amount of gas still available for use. How long will it be available? What will happen when its gone?