September
On September 3, 1929 the stock market reached it’s peak and started to decrease.
Black Thursday
The stock maket plummted and thousand of people were trying to sell their stocks. The stocks fell 11%. Many romurs were going around that many people where commiting suicide. All of the panic ended around noon. When a group of banker pooled a large amount of their money back into the stock market.
And by the end of the day many people were selling and buying stocks again. 12.9 million share’s where solded double the pervious record. But no one thought that the stock market would fall four days later.
Black Monday
The stock fell 12.8% more. Many people started to learn that the banks invested their money in wall street. Many people rushed to their banks to pull all of their money out. The banks then only gave out 10 cents for every dollar that a person put in. Many people losted their live savings. Banks went bankrupted. Business counldn’t get loans. And people could not by houses.
Black Tuesday
October 29, 1929 the U.S had the biggest stock crash in the history of the stock market. It is name is “Black Tuesday”. “Black Tuesday” is the day that the American stock market collapse. Many people were trying to sell all of the stocks that they had.
Many people were in a panic because they could not sell all of their stocks fast enough. They couldn’t sell all of their stocks because with everyone selling no one is buying the stocks that the people are trying to sell. All of the prices for the stocks collapsed. Panic hit all the people in the country.
14 billion dollars were lost in one day. Thousand of investor got wiped out. The stock tickers ran behind by two hours and a half. 16.4 million stocks were sold that day braking the record.
The stocks did begin to declind months before “Black Tuesday”. Many people losted all of the money that they put into the banks. Many people lost their jobs and houses. Many people became homeless and it was a common thing to see people sleeping on park benchs with their families.
Causes Of The Great Depression
There where five causes that helped to play a roll in the Great Depression. The first cause was the stock market. The American stock market collapse. 14 billion dollars where losted in one day. It was the start of the American people losing 40 billion dollars in the following months.
The second reason of the Great Depression is the bank failures. People and the banks had really poor investment pratices. The amount of money that the customers would pull out from the bank. And the loss of money from “Black Tuesday”.
The third cause of the Great Depression was consumerism. The lack of demands of the goods and services. The unemployment rose and the consumer capital then fell. There was less consumer capital which then lead to a greater decrease in the demands for goods and the services.
The fourth cause of the Great Depression was the Foreign Tariff. The tariff that American taxed on imported or exported goods. It ugred American to consumers to buy American products. The damge that it made on the economy and esecially the agriculture.
The five and final cause of the Great Depression is the drought or in other words the Economic Impact. Many individuals were unable to pay their taxes. Many people were impacted on the defaulted on paying back the loans. And the banks loss lots of money on the loans that could not be payed back.
