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Chapter 25. The Great Depression Section 1. stock exchange : an organized system for buying and selling shares. Who bought stocks ? grocers motormen plumbers seamstresses waiters. On margin … This meant to pay only a fraction of the stock price and borrow the rest from their brokers. - PowerPoint PPT Presentation
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Chapter 25
The Great DepressionSection 1
stock exchange :an organized system for
buying and selling shares.
Who bought stocks?grocers
motormenplumbers
seamstresseswaiters
On margin…This meant to pay
only a fraction of the stock price and
borrow the rest from their brokers.
Black Thursday
October 24, 1929Panicked traders sold millions of shares which caused the market
to plunge
Stock Market Crash
The New York Stock Exchange closed for a few days to prevent more panic selling.
The next two years the U.S. slid into a severe economic
crisis called
The Great Depression
Other causes of the Great Depression?
unbalanced economycredit crisisinternational depressionjoblessness & poverty
Many small banks suffered when
farmers defaulted, or failed to meet loan payments
Unemployed people tried to earn a few cents
byshining shoes
orselling apples
on street corners
People who lost their homes built shelters out of old boxes and other debris and they were
referred to as shantytowns
As President Hoover failed to act these shantytowns were referred to as
Hoovervilles
Charities, churches, and
volunteers worked heroically to provide relief aid for the
needy
Public Works projects include:
highwaysparks
libraries to create new jobs
The march on Washington by the
Bonus Army turned many
Americans blaming Herbert Hoover for the
Depression
The Bonus Army were veterans of World War I that were promised$1,000 bonus in 1945.
Veterans – 20,000 marchedCongress/President turned them down from
collecting their bonus….all but 2,000 veterans left
President Herbert Hoover called in the
army with tanks, machine guns, and
cavalry, troops were led by General
Douglas MacArthur
