Black Monday Stock Market Crash

1197 Words 5 Pages
A Prominent Financial Crash
What would be a disaster for the stock market would be major chaos for the rest of the nation, in terms of the market, prices, jobs, and just barely staying alive. The stock market is an important event in history because it affected countless Americans, rich middle and poor, and anything that would be linked with the crash, directly or indirectly, causing items and products to lose value greatly and rapidly. This set a chain of events which left the nation with hysteria in all areas.
Now, before we go into the issue that affected thousands in conditions, some background information is needed. The Stock Market was a series of companies and individuals buying and selling products for business. Though the stock market
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It worked kind of well, since things were looking up on the next day, Friday. However, all hell broke loose on Monday, and the market went on a skydive, thus giving that day’s title as Black Monday. Black Monday was followed by Black Tuesday, otherwise known on October 29th, 1929, when all prices dropped sharply and altogether collapsed. 16,410,030 shares were traded in a single day in vain, but this didn’t work. Billions of dollar money were deprived of value, leading to investors having all their work rendered useless. Even the machinery could not handle the immense and high speed volume of the trading, therefore the stock tickers were running hours behind. This was the start of the Great …show more content…
When the spending lessened, so did the unemployment rise like never before. The unemployment and it’s rates skyrocketed skyhigh. Partial blame as to how this happened was the rich. They were too rich, and most of the money went to them. The other 60% were the middle class and poor, in which they had to struggle more than the rich do. Theses statistics on the right shows the unemployment rates over the time span of twelve years. It is consisting of the population during a specific year, as well as the labor force, the unemployed, and the percentage of the labor force. As you can see, there was a constant yet sharp and steady decline in the percentage from the year 1929 to 1933, where it has hit the highest peak of 24.75%. Afterward, things started looking up after 1933, when the percentage decreased to a low 9.66% As it turns out, World War II started on September 1939. When the war went into full swing, there were jobs needed to be filled, in the military and in factories.
How the stock market works is sometimes like trying to negotiate a deal, which it is exactly like that. To understand how it works is significant here, then can we see how important the stock market is. There is the idea that it’s placing your bet and hoping for the best but that’s really not the case. First you need to be signed up and have a broker account. You can do this online with a small fee without ever having to go the

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