The Stock Market Crash
I. What caused the Stock Market to Crash?
Secondary causes:
1. Uneven Prosperity
2. Buying on Credit
3. Buying Stocks on Margin
Primary Causes:
1. “Black Tuesday”
II. What were the effects of the Stock Market Crash?
1. The Great Depression
2. Banks Closed
III. What caused the Great Depression
1. The 1920’s economy was out of balance
2. Americans are increasingly in debt.
3. Speculation is on the rise
4. Overproduction slows industrial growth
5. The Stock Market crash of 1929.
IV. What were the effects of the Great Depression
1. Millions of workers lose their jobs
2. The Gross National Product (GNP) falls dramatically
3. Increased poverty leads to health and social problems
4. Global economy suffers.
V. How did America’s depression become a global depression?
1. The Dawes Plan was interrupted
2. Protective Tariffs were raised
3. Structural realignment
VI. How come the Federal government’s monetary policy did not work?