Stocks & Investors
Definitions & Farmers
Economy
Germany and Europe
United States
100
The New York Stock Market collapsed on October 29, 1929
When did the New York Stock Market collapse?
100
More goods are being produced, then sold
What is overproduction?
200
A period of severe economic and social hardship, massive unemployment, and horrible suffering
What is the Great Depression?
200
wheat and Newsprint
What two exports made Canada very vulnerable to changes in the world market?
200
Germany's inability to meet its financial obligations under the 1919 peace agreement, helped lead to the Great Depression
How did Germany's actions help lead to the great depression?
300
They went broke in a single day
What happened to investors that borrowed heavily to buy their stocks during the depression?
300
Canada's economy was hit particularly hard because, of its close ties to the United States economy. U.S. had become Canada's largest trading partner
What was Canada's economy hit particularly hard?
400
They started selling their stocks to cash in on high profits, which caught on with other investors and made the value of stocks drop dramatically
What did cautious investors do, to help the value of stocks drop dramatically?
400
People in the wheat industry and newsprint industry lost their jobs. Without jobs, they could no longer afford to buy such items as cars, radios, and telephones. Without customers people in these industries also lost their jobs. Within a year millions of Canadians lost their jobs
When the demand of wheat and newsprint decreased internationally what happened to some Canadians?
500
The price of wheat fell and more wheat was being produced than sold. Canadians and U.S. farmers depended on foreign markets, but many countries were producing their own wheat. As sales decreased so the the income of farmers. Many were not able to meet their mortgage and loan payments
Explain why the income of farmers dropped, what were the consequences?
500
Manufactures stocked piled goods and started cutting back on the goods they were producing. This decrease in production led to layoffs in factories, which meant less income for families and less spending on consumer goods
How did overproduction by manufactures effect people?
500
Germany could not payoff its debts because its economy was in ruins, it had to pay enormous reparations it was obligated to pay them to Great Britain and France for war damages this did not let Germany's economy recover. France and Great Britain counted on German reparation to pay back their own war debts to the United States
Why were Germany, France, and Great Britain finding it hard to payoff their debts?
500
Other countries imposed their own tariffs in response to the United States actions. Tariffs caused a slowdown in world trade as opportunities shrank
How did the United States protectionism have a negative effect globally?
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