Great Depression - Sandoval

Reason for banks failure

People's money was put into other peoples loans or invested

Bear Market

price of stocks are steadily falling

Bull Market

price of stocks are steadily rising

Hooverville

shacks the homeless lived in

Direct Relief

the giving of money or food by the government to needy people

Price Support

the maintenance of a price at a certain level through government intervention

buying on margin

the purchasing of stocks by paying only a small percentage of the price and borrowing the rest

President Hoover's feelings towards direct relief

thought it would make people dependent on the government

Bonus Army

a group of WWI veterans who marched on Washington DC to demand the immediate payment of a bonus they had been promised for military service

Hawley Smoot Tariff

a law that established the highest protective tariff in US history, worsening the depression in America and abroad

Federal Home Loan and Banking Act

a law that lowered home mortgage rates and allowed farmers to refinance thier loans and avoiid foreclosure

Dow Jones

a measure based on the prices of the stocks of 30 large companies, used as a barometer of the stock markets health

Great Depression

a period lasting from 1929-1940, in which the US economy was in severe decline and millions of Americans were unemployed

Share

a single unit of stock

Reconstruction Finance Corp

an agency established to provide emergency financing to banks and companies

Speculation

an involvement in risky business transactions in an effort to make a quick or large profit

causes of the dust bowl

drought, overfarming and wind

effect of the Great Depression on the rest of the world

fell into similar economic condition