3 Causes of the Great Depression

List and define 3 causes of the Great stamp. You must bring down how this incident may fork over caused the GD and its effect on America and what was done to paying back this. In the roaring 20s some Americans lived beyond their means. roughly(predicate) 60% of the population lived at or below scantness train but this great impudent idea of loaning sight credit so that they could pay back things now and put up for them later. Many American took pay hit of this. The car industry became the draw in one industry in the country as pack started acquire gold. The problem with banks alter this money was that there were no safeguards in place. The banks had non yet versed the importance of aegis and collateral. They had besides not yet lettered the importance of hold the heart and soul of money they leant and to whom. During the Great slump more than than than 9000 banks close and millions of plenty lost their life savings. When the banks closed state became terrified and halt spend as much. The overtop in spending caused companies to take down off workers. This caused more banks to close, followed by more decline in spending and then more employees were laid off. fortunately Franklin Roosevelt came on with the New Deal and created the FDIC which defend consumers money kept banks from closing.

some other cause of the Great Depression was the stock market. simply about 1 percentage of Americans truly bought into the stock market, the carefulness to that was that that identical 1 percent of Americans controlled more than 50 percent of American Industry. The stock market was allowing raft to buy stocks on margin. buying stocks on margin is the analogous as borrowing money to buy stocks; this caused the Dow Jones to rise from 191 in 1982 to an astounding 381 in family of 1929. When the market crashed many people simply could not spend to pay back the loans and later on lost everything. Because of investors losing money many were forced to sell off their companies. Selling these companies go by to more unemployment....If you want to exit a full essay, arrange it on our website: Ordercustompaper.com

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