Great Depression #2 Flashcards
What happened on Thursday, October 24th, 1929?
Nervous investors began selling their stocks.
Why did people start selling their stocks?
Stock prices plunged, triggering an even greater
panic to sell.
What happened on Friday after investors sold their stocks?
Bankers joined together to buy stocks and prevent a further collapse.
What was the worst day, affecting stocks of even solid companies?
Black Tuesday, October 29, 1929
How much did the market value drop in a few short days after black Tuesday?
It dropped value by about 16 billion.
What does one hundred dollars then equal now?
1800 dollars.
What are margin buyers?
People who borrowed money.
Why were margin buyers hit the hardest during the aftermath?
They couldn’t repay their loans.
What was ruined in only a few days (aftermath)?
Countless individual investors and fortunes.
What were bank runs?
People rushed to withdraw their money draining the bank of funds.
Who was also gambling in the stock market, and losing money?
The banks.
How many states did not have a bank open after 1929?
28 States.
What are things that were used as toilet paper?
Newspaper, mail advertisements, and rocks.
What was the Great depression’s impact on businesses?
Consumers cut back on spending unless it was essential.
