How Did The Stock Market Crash Lead Up To The Great Depression
Stock markets started to crash on october 1929. Which send everyone on wall street into panic mode and depression mode. It also took out millions of investors who invested in the stock market. Years later investments started to drop and was a major downfall in industrial output. The unemployment rate also started to rise up because failing companies laid off workers. when the Great Depression reached its lowest point,13 to 15 million Americans were unemployed while half of the country banks failed. stock tickers was always hours behind because the machineries wasn't able to handle a lot of trading. The prices continued to drop in the U.S. when hit 1932 stocks started to be only 20 percent of their value. America did not wanna face this
…show more content…
And all the stocks was falling and everyone was losing their stocks. So it made it hard for anyone and everyone to make a quick come up. And people was going broke because they was losing their jobs. Which mean you can't get money because you get money from working and if you don't have a job, you don't have nothing because having a job is apart of the American dream.
President Hoover thought the crash was part of a passing recession. on July 1931, Hoover wrote a letter to a friend who was the Governor of Illinois. It was very clear to Hoover that the speculations and worldwide economic slowdown made America part of the Great Depression. Hoover did not want to get the government involved in forcing fixed prices and controlling businesses and manipulating the value of the currency. He felt that these were steps towards socialism. President Hoover’s opponents made him look like a uncaring person towards the people. Even he was a philanthropist and a progressive before even he even became the 31st president. During Hoover's reelection, Hoover wanted to convince the people that the measures they were calling for might help in the short term. But if they was calling for the measures in the long run it would not be helpful but hurtful. Hoover only cared for the common people so much to destroy the country
And all the stocks was falling and everyone was losing their stocks. So it made it hard for anyone and everyone to make a quick come up. And people was going broke because they was losing their jobs. Which mean you can't get money because you get money from working and if you don't have a job, you don't have nothing because having a job is apart of the American dream.
President Hoover thought the crash was part of a passing recession. on July 1931, Hoover wrote a letter to a friend who was the Governor of Illinois. It was very clear to Hoover that the speculations and worldwide economic slowdown made America part of the Great Depression. Hoover did not want to get the government involved in forcing fixed prices and controlling businesses and manipulating the value of the currency. He felt that these were steps towards socialism. President Hoover’s opponents made him look like a uncaring person towards the people. Even he was a philanthropist and a progressive before even he even became the 31st president. During Hoover's reelection, Hoover wanted to convince the people that the measures they were calling for might help in the short term. But if they was calling for the measures in the long run it would not be helpful but hurtful. Hoover only cared for the common people so much to destroy the country