Economic Developments: The Financial Panic of 1907

Question 1

When was there a slow of growth between the 1895-1900 and 1908-1913 economic surges?

Answer 1

1907

Question 2

What caused the 1907 Financial Panic?

Answer 2

The collapse of the third largest trust in New York

Question 3

What was the third-largest trust in New York called?

Answer 3

The Knickerbocker Trust Company

Question 4

What was the impact of the Knickerbocker Trust collapsing?

Answer 4

The New York Stock Exchange fell by nearly 50%

Question 5

Who averted a depression from this panic?

Answer 5

J.P Morgan

Question 6

How did J.P Morgan avert the 1907 Economic Panic?

Answer 6

He put $25 million into the economy to help restore it

Question 7

What did the 1907 Economic Panic indicate about having a laissez-faire government?

Answer 7

Running a laissez-faire economy did not always guarantee long-term sustainable progress

Question 8

How could the 1907 Economic Panic have shown the strength of businesses over the government?

Answer 8

Because the issue was resolved by a monopoly owner and not through government intervention