Flashcard: THE GREAT DEPRESSION PART 1 — 14 carte

Black Thursday — date?

24 October 1929, stock market crash begins

Black Tuesday — date?

29 October 1929, market collapse complete

Stock market crash — effect?

Destroyer of wealth, triggers panic

Buying on margin — mechanism?

Borrowing to buy stocks with small upfront payment

Margin buyer — risk?

Default when prices fall, leading to bankruptcy

Bank run — cause?

Fears of bank failure, depositors withdraw money

Long-term causes — main?

Overproduction and protectionism

Overproduction — result?

Falling prices, farmers in debt

Protectionism — impact?

Reduced international trade, tariffs rise

Laissez-faire banking — failure?

Unregulated banks failed, causing panic

Rising debt — types?

Hire purchase, falling house prices

Immediate effects — unemployment?

Rose from 1.6m to 14m (1929-1933)

Homelessness — during Depression?

Increased, evictions led to Hoovervilles

Relief schemes — during Depression?

Local charities, soup kitchens, no unemployment benefits