Great depression 2 Flashcards
1
Q
Thursday
A
- People sell their stocks
- Stock value drops
- took $$$ out of bank
2
Q
Friday
A
- People buy stocks
- Stock closes for the weekend
3
Q
Black Tuesday (how much lost)
A
- Worst financial day in history
- Market drops to almost nothing
- 16,000,000 lost
4
Q
The aftermath
A
- Investors and fortunes were ruined in days
5
Q
Margin buyers
A
- Borrowed $$$ from banks, put it in the stock market
- Worked well in the 20’s
- Put in debt
6
Q
Bank runs
A
- Ran to bank, took $ out before bank goes to zero
7
Q
Where does the $ go?
A
- Banks use it for mortgage and auto loans
- put them in debt
- Banks gambled in stocks ( not backed by gov. )
8
Q
what is $100 from them now worth
A
- 1,800
9
Q
How did it impact buinesses
A
- Customers cut back on everyday spending
