The wall street crash and depression Flashcards
what was seen as a threat to the boom in 1926?
the collapse of land prices in Florida
what was the main problem during the boom?
overproduction
what was the problem with having too many small banks?
didn’t have enough funds to cope with people taking money out in panic during autumn 1929
why was too much speculation on the stock markets a problem?
the middle class had a lot to didn’t so they became paranoid and lost confidence
when was the wall street crash?
October 1929
how did the US depression affect the rest of the world/
the US recalled the loans they had given European countries after ww1 which caused their banks to collapse and cause a worldwide financial crisis
how many people were unemployed because of the depression?
13 million
what did industrial production fall by between 1929 and 1932?
45%
what did house building fall by between 1929 and 1932?
80%
how many banks went out of business between 1929 and 1932?
5,000
how many people were known to have starved to death during the depression?
110 (although will have been a lot more that went unrecorded)
how many shares were traded on “Black Tuesday”?
16 million
how much money did the stock market lose on the worst day and worst week?
13 billion dollars and 30 billion dollars
how long did it take for Tuesday to fully recover from the depression?
10 and a half years
what was the problem with the banking system?
- 12 reserve banks headed by the federal reserve board
meant no government intervention
