WWII and The Great Depression

Causes of the Great Depression

Installment buying: enable people to buy the product even if they don’t have enough money overtime. Able to pay off the car for the amount people had. However, this buisness technique a false properity. Now, you have bills to pay with a monthly payment that you can’t keep up with, By the end of the decade, everyone was deeply in debt. Buying on Margin: spotting money for people who can’t afford the price of it. People thought in the 20s that the market was never going down again. Weak banking structure: a ton of people were not in the stock market, they put it in their savings account. The banking industry is the most important financial industry. The bank invests in the stock market with your money. The reason why the Great Depression happened is because people who did not invest in the stock market get screwed over.

Rugged Individualism

the idea of everyman for themselves, self dependent. You cannot rely on the government ( Laissez Faire in extreme form)

Hoovervilles

a shanty ghetto names built by unemployed or homeless people during the G.D

Hoover Dam

a dam built during the G.D , it was a major government project that provided jobs, controlled flooding, supplied water, and produced hydroelectric power for the S.W

Reconstruction Finance Corp (R.F.C)

Hoover helped the major companies that run America and give them money in hopes they will give out jobs

Bonus Army

Congress wrote a law bonus payment to whoever was in WW1. In 1945, the government will give it out for retirement. However, many soldiers who were suffering wanted it earlier. Soldiers of 1945 requested for their payment to president Hoover. As a result, he said no becayse he said he didn’t have enough money to do so.