The Wall Street Crash
- Created by: reoccurringsam
- Created on: 20-02-17 18:08
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- The Wall Street Crash
- Weaknesses in the US Economy and Long Term Causes of the Crash
- Fewer people could buy consumer goods due to over-production
- Unequal distribution of wealth meant more than half of the population lived below the poverty line
- Tariffs were being introduced in other countries so US businessmen had trouble selling abroud
- Financial speculation meant lots of shares were bought and a lot of them with borrowed money
- Fewer people could buy consumer goods due to over-production
- Short Term Causes of the Crash
- In 1928, shares didn't rise as much as in previous years so people began to sell their shares, then most people sold their shares (The Wall street Crash)
- On the 24th of October 1929, 13 Million shares were sold in Wall Street
- The banks couldn't intervene by buying shares as there were too many sold ($250 million worth bought by banks)
- Prices plummeted and no one wanted to buy
- On the 29th, Investors sold shares for whatever they could get
- Impact on society
- Weaknesses in the US Economy and Long Term Causes of the Crash
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