economic spirals Flashcards
what happened in 1922?
upward spiral in the economy begins
what happened in 1929?
downward spiral in the economy begins
in the roaring 20s, what did a demand for goods lead to?
higher production
what did higher production lead to?
greater sales
what did greater sales lead to?
higher employment
what did higher employment lead to?
greater profits
what did greater profits lead to?
higher purchasing power
what did higher purchasing power lead to?
demand for goods
in the depression years, what did a decreased demand for goods lead to?
lower production
what did lower production lead to?
fewer sales
what did fewer sales lead to?
loss of jobs
what did loss of jobs lead to?
less profits
what did less profits lead to?
less purchasing power
what did less purchasing power lead to?
decreased demand for goods
