1. WATCHING THE ECONOMY CRUMBLE The Stock Market and the Great Depression

2. Stock Market and Great Depression The 1930s were dominated by the Great Depression which affected every aspect of life The Great Depression was triggered by the stock market crash of 1929

3. Stock Market and Great Depression Why did the stock market crash? People bought stock on the margin and only owned a small portion of their stocks (Speculation)

4. Stock Market and Great Depression Many people couldn’t find money to cover their loans so everyone sold their stock Great Crash: The day that the stock market started to plunge

5. Stock Market and Great Depression October 29 th 1929: Black Tuesday Stocks fell by $16 million dollars This day started the Great Depression

6. Stock Market and Great Depression Causes: Weakness in the economy Unequal Distribution of Income Excessive Buying on Credit Overproduction by American businesses Buying stocks on the margin (Speculation)

7. Stock Market and Great Depression What happened to America? Farm prices dropped Unemployment hit the railroads, coal, and textile factories Automobile sales virtually stopped

8. Stock Market and Great Depression Some 6,000 banks failed and closed up in the early 1930s

9. Stock Market and Great Depression The Gov’t and President Hoover did all of the wrong things to try and end the Depression Hoover rejected giving gov’t money to the unemployed and instead said volunteers and charities should provide relief. The lowest point occurred in 1932 at the end of Hoover’s term

10. Stock Market and Great Depression

12. Great Depression video