Chapter 9

Stock Market

System for buying and selling share of company

Bull Market

long period of rising prices

Margin

make only small down payments - sometimes 10%

Margin Call

became sensitive to falling prices

Speculation

bet market, hope it rises, sell quickly

Bank Run

many depositors get their money out

Installment

a sum of money due as one of the several equal payments for something, monthly

Black Tuesday

stock market crash Oct. 29, 1929, stock lose between $10-15 billion in value ($260B today)

Hawley-Smoot Tariff

aimed to protect American manufacturers from foreign competition, damaged American sales abroad

Bailiffs

court officers that would then kick out non-paying tenants and throwing out belongings on streets

Okie

farmers from Oklahoma that traveled after their crops and house were covered and destroyed by dust

Hobo

wandering homless/jobless person, hobo jungles and box cars

Soap Opera

serial drama on daytime radio and tv, frequent laundry soap ads

Public Works

government financed building projects

Reconstruction Finance Corp

made loans to banks, railroads, and agricultural institutions.

Relief

money that went directly to impoverished families.

foreclosure

borrower fails to make mortgage payments and bank takes possession of building and evicts family

Bonus Army

veterans trudged along the highways or rode the rails, singing old war songs and reminiscing about army days

Reasons for the Stock Market Crash

Lent money to speculators, banks invested hoping for highers returns

What 2 people ran for president in 1928?

Alfred E. Smith and Herbert Hoover

Causes of the Great Depression

LOUHFS Low interest rates, overproduction, uneven distribution of wealth, high tariffs, falling demand, stock market speculation

Shantytowns

Hoovervilles, newly homeless people put up shacks on public/unused lands, farming communities

Dust Bowl

severe dust storms damaged ecology/ agriculture, people headed west from mid west to west (Oklahoma to California)

Alfred E. Smith

4 times NY gov., Irish catholic

Herbert Hoover

blamed for market crash, mining engineer, worldwide gratitude, fed war-torn Europe durng and after WWI

Walt Disney

cartoons, snow white 1937 (inspired wizard of oz), mickey mouse,

John Steinbeck

flesh and blood to journalists’ reports of poverty and misfortune, grapes of wrath

William Faulkner

shows what his characters are thinking and feeling before they speak, stream of consciousness technique, he exposes hidden attitudes of Southern whites and African Americans in a fictional Mississippi county.

Marx Brothers

comic stars of stage and screen, Animal crackers, when market crashed they lost all their money

Henry Luce

founded life. time, fortune, and sports illustrated magazine

Grant Wood

traditional, American Gothic

Margaret Bourke-White

photographer, pictures displayed in Fortune Magazine, showed the ravages of drought

Farmers’ Revolt

1932, farmers had heavily mortgaged their land to pay for seed, feed, and equipment and after the war, prices sank so low that farmers could not even earn back their costs, let alone make a profit.