Chapter 26 Flashcards
When people began to make money what did they start doing with their money
investing it in stock in hopes to make more money
What is a stock
exchanged system for buying and selling stock
By 1929 what was true about American households
about 1 and 10 households had invested in American stocks
What happened in September 1929
some investors began to worry that stock prices going to fall. So they began to sell their stocks
What happened to those people who lent money out to investors
They got nervous and began demanding that their borrowers repay their loans. In order to pay these borrows back more people had to sell their stock. The more stocks people sold the less money they were worth.
What happened on October 24th
It was Black thurday and 13 million shares were sold
Later in the decade what did factories find out?
they were turning out more products and goods than people could buy
What happened to the automobile and construction industry
They suffered and as a result, businesses began to cut wages and lay off workers.
What happened to small banks?
They began to suffer when people began to default or fail to meet their loan payments.
What happened to large banks?
They suffered during this time because many of them bought stock with money that was given to them
What happened to banks in general?
They began to collapse and all the money that had been put into those banks would be lost
What was the Hawely smoot tariff
This tariff would raise the price of goods purchased from other countries
What happened when the Hawley Smoot tariff was passed
began to buy fewer goods from other nations hurting other foreign economies and in turn, other countries also began raising tariffs on American goods which also hurt American businesses.
What were some employment percentages?
By 1932 about 25% of American workers were out of work and throughout much of the 1930s remained right around 20%
What did Hoover think he should do with this banking issue
just wait it out
What are public works?
projects such as highways parks, and libraries meant for public use
What did the soldiers that fought in WW1 that had not received the money that the government had promised them do?
marched on Washington
What were the veterans that marched on Washington called
bonus army
Congress voted to not give the soldiers the money they were promised, so what did the soldiers do?
Camped out in DC
The police tried to break up the bonus army camping in DC, what would this result in
Violence, and 2 deaths
What did hoover do after the fight in DC
He sent his army to remove the american troops and burned their camps
What did the american people think after hoover burned all the soldiers camps
They were scared and hoover had almost lost touch with the people
Who did FDR admire
TR
Who did FDR fall in love with
Anna eleanor roosevelt, TR’s niece
