Causes Of The Stock Market Crash In 1929

1991 Words 8 Pages
I. The Stock Market Crash Of October 1929
A. Franklin D. Roosevelt was elected in 1932
B. Many of the poverty stricken individuals began to despise the monetary system, the president and the rich ones
C. The amount of starving, homeless and sickness grew in the mid-1920s
D. Although the whites were affected, the severity towards blacks and Hispanics was outrageous, especially since they were already deprived to begin with
II. Causes of the Crash
A. One of the causes for the crash was a natural disaster that occurred, subtropical land was $15,000 and then increased to $20,00
1. Once the destruction occurred the properties decreased in value
B. Many people in this era focused on buying stocks, providers would lure people with advertising and
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The situation escalated fairly quick that some people even committed suicide due to the crash and other became violent
3. In 1929 approximately 1.5 million people were involved with stocks, but the crash affected many of them
D. The prices began to decrease until it led to a long depression
III. Brother, Can You Spare A Dime: The Great Depression
A. Although the stock market crashed, that was not the only cause of the depression, another reason was monetary disparity, basically the rich get richer and the poor get poorer, without considering the deprived people and worsening the monetary imbalance caused by greed
B. The percentage of those that had absolutely no wealth was much larger than those who did, approximately 80% had no wealth, meaning the rest were well off
C. Beside wealth disparity, overproduction was another cause
D. Farmer’s product prices dropped dramatically that they could not pay their bills which caused the banks to lose money, therefore they went bankrupted
1. Cotton for example at first caused 10 cents per pound and then dropped to 6 cents
E. World War I also caused a lot of damage in Germany, therefore, the monetary situation was not the best since United States had to help out since Germany itself could not do
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This campaign left Hoover with nearly no votes
XIV. Hoover Defeated
A. The vote was 472-to-59, which was about 57 percent of the vote
B. Till 1937 was when the 20th Amendment would take effect
C. The economy and people needed a change of plan as soon as possible, within the four months that he was elected, the Depression could not possibly get any worse
D. In 1920 an amount of wheat would sell for about three dollars, however, on 1932 it was ridiculous but it was selling for just 30 cents
E. By 1932 a huge amount (1,453) of banks were no longer in service, this affected people and they lost their money
F. There was another bank holiday on February 14, this was stated by a governor of Michigan
XV. A. Up to this day, The Great Depression will never leave history, it is constantly taught around the world to remind people of the incident
C. This incident greatly changed the mentality of people towards the government
D. The reputation of Hoover was so tainted that his failure and broke promises will never leave the minds of people, even after he let the White House in some sort of way he was looked down upon
E. And then here come Franklin D. Roosevelt with a “New Deal” promise that people were highly relying

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