Chapter 14 Flashcards
Government buys surplus crops at guaranteed prices and sells on world market
Price supports
An arrangement in which on consumers can buy now, and pay later
Credit
Little towns consisting of shacks
Shantytowns or Hoovervilles
Paying a small percentage of stock, and borrowing the rest
Buying on margin
Buying stocks and bonds in hope of profit – ignoring risks
Speculation
The date when the market plunged
October 29th, 1929
The bottom fell out of the market in the nation’s confidence also known as October 29 of 1929
Black Tuesday
From 1929 to 1941 economy plummeted and unemployment went up
Great depression
Establish the highest protective tariff in US history
Hawley – Smoot tariff act
Major drought affected Kansas, Oklahoma, Texas, New Mexico, and Colorado
Dust bowl
Offering free or low-cost meals
Soup kitchens
Of people waiting to receivefood provided by charitable organizations
Breadlines
300,000 transients wandered the country riding railroad boxcars and sleeping under bridges
Hoboes
money or food given directly from the government to the needy
Direct relief
Well known photographer
Gordon Parks
What did farmers do during the Great Depression?
They grew more livestock and crops
What signaled the Great Depression?
Superficial Prosperity
What industries were not needed anymore?
Railroad, Mining, automobiles, construction, production of consumer goods and lumbering
What struggled the most during the Great Depression?
Agriculture
Helped farmer,like welfare does now
McNary Haugen Bill
What bill did Coolidge veto twice?
The Mcnary Haugen Bill
What was the effect of people having less money to spend?
They bought a lot less
What was bad about credit?
It put people in debt because they didn’t have money to pay it back
What happened to the uneven distribution of income?
Rich became richer/ poor became more poor
What percent of American earned less than $2500 a year?
70%
What percentage of Americans income rose?
1%
How many houses were able to have a furnace or electric lights?
1/2 the houses in America
Who was the election of 1928 between? Who won?
Herbert Hoover and Alfred Smith/ Hoover won
Who was Hoover before the election?
Secretary of commerce under Harding and Coolidge
Who was Alfred Smith before the election?
Politician in New York
The measure bases on stock prices
Dow Jones
Period of rising stock prices
Bull market
What percentage of Americans owned stocks?
3%
When did the stocks fall and rise again?
Spetember 29,1929
What happened when stocks fell for the first time?
Investors sold their stocks
How many stocks were sold in October 1929
16.4 million
How much money did investors lose?
$30 billion