2) After people have realized that their stocks have completely hit rock bottom, people stormed to the banks to try and get what remained of their money to store at home, usually in their mattress, because they felt that it would be safer there. Because so many people tried to get to their money so quickly, many were upset due to the fact that they weren’t there fast enough and banks literally ran out of money to give to the people. (O.I.) Last, many Americans were struck by poverty so bad, they were not even able to feed their whole family. (O.I.)
In 1929, experts started to sell their shares heavily before the values fell even further. Eventually, everyone wanted to sell their shares but nobody was buying. This led to complete collapse of prices and thousands of investors lost millions of dollars. Tariffs – Due to America putting Fordney McCumber Tariffs on European goods, Europe responded by also putting tariffs on American goods so US business men found it hard to sell goods to European
Many factors caused the economic condition in America to change in the late 1920’s resulting in the Great Depression. These factors include World War One, individual debt, business failure, farming decline, banking failure, and the stock market crash. World Depression was caused by World War one because the demand for American products reduced after the war resulting in too much supply with limited demand. Production was lowered and jobs had to be cut, leaving many without jobs leaving many in debt because many people took out loans or stocks during the war. Many people did not have money to spend in businesses and businesses also took out loans that needed to be paid back.
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.
John majors government came into office after the downfall of Margret Thatcher, which ultimately created divisions within the party. Not only did the party suffer from the internal conflict but also faced the problems of the recession after the ‘Lawson boom’. In order to stabilise the economy he joined the ERM getting a good deal but ultimately resulting in ‘black Wednesday’ causing Major to raise interest rates to 15%. This was political suicide and he soon lost the support of the press we had once relied so much on to get re-elected in 1992. The housing market also plummeted leading to negative equity, which the majority of the working class could not afford resulting in the repossession of their houses combined with the drastic increase in unemployment Britain was in a mess.
Meanwhile, hotels had emptied and foot traffic was down at many retail stores.” People were loosing money because of the spill. The economy faced a drop in their financial balance. Many people left the county in order to find a place they could utilize water. Other people felt as if they were trapped in their own homes because several of the restaurants were closed. Even though the Chemical Plant boosts up the economy, once the spill occurred it created dramatic drop financially and
The men, women, and children who endured those years showed courage, and ingenuity. The Grapes of Wrath gives us a window into the existences of migrant worker families escaping the Dust Bowl in late 1930s America. The National Government undertook a massive program changes. The Great Depression finally waned, and the American people, once again, faced an unprecedented challenge called the Second World War. In 1941, the outbreak of Second World War started.
The 1930’s was the time when the culture in America really began to take shape. The Great Depression affected the lives of every American. The lack of government regulation left many people unemployed as well as, working in horrible conditions. Many Americans had become fearful of banks because of the growing economic panic. President Franklin Roosevelt tried to help the banking crises as we all the American people to regain economic strength and civilization.
‘We in America today are nearer to the final triumph over poverty than ever before in the history of any land.’ This was said by New republican president, Herbert Hoover, in 1928. However it was not true, for within a year, America had lost all confidence and it had fallen into the depths of depression. The Great Depression was an economic crisis which started with the crash of the Wall Street stock markets in 1929. It was a tragedy which affected all areas of American life. It caused unemployment rates to rise, reaching as high as 25%.
And before you go broke and don’t know what to do with your life. After the stock market broke down on August 7th there were 4.5 million people that were unemployment and didn’t know where to go to work and what they were going to do later in life. President Herbert Hoover appoints a Committee for the unemployment relief. And they were too late to take out all of their money and put it back into the bank. Franklin D. Roosevelt handles the great depression very well, because he went to the court of additional Justices, and created a new deal program.