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12 Cards in this Set
- Front
- Back
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Stock Exchange
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is an organized system for buying and selling shares, or blocks of investments, in corporations.
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On Margin
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people paid only a fraction of the stock price and borrowed the rest from their brokers. Brokers in return borrowed their money from banks.
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"Black Thursday"
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Panicked traders sold almost 13 million shares on October 24, 1929
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Defaulted
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failure to meet loan payments.
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Hoovervilles
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*an area where people lived in boxes - they were homeless. *President Hoover's failure to act to the problems of the depression created this situation
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Relief
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aid for the needy
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Public Works
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projects such as highways, parks, and libraries to create new jobs.
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Reconstruction Finance Corporation (RFC)
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*This lent money to businesses and also provided funds for state and local programs providing relief.
*Because RFC's directors didn't want to give out loans, most of this aid money went unspent. |
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Bonus Army
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*veterans of WWI who wanted their $1,000 bonus now (1932) and not in 1945.
*marched into Washington demanding their money *this decision by the government turned many Americans, who were already blaming Hoover for the Depression, firmly against the president. |
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Douglas MacArthur
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*Army chief who entered the Bonus Army's camp and burned it.
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Results of the Great Depression
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1. Weakened foreign economies
2. Joblessness 3. Poverty |
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Causes of the Great Depression
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1. Farm incomes shrank
2. Industries declined 3. Auto and construction orders were low so workers laid off 4. Growing gap between wealthy and other Americans 5. Credit crisis |
