What caused the Great Depression?
The main purpose for this exhibit is to inform you on the topic of the Great Depression using primary and secondary sources. We will be explaining many factors that played into the Great Depression, some would include, the Stock Market crash, the unemployment rate raising, people were buying on credit, and buying on margin to name a few. Most people were investing in the stock market, this included anywhere from bell hops, to wealthy businessmen. People that didn’t have money to afford stocks would then buy on margin, which means they would barrow money from the bank to buy the stock and when they earn the money back they will pay the bank. This is also similar to buying on credit, where you buy something and promise to pay the money back over time. When the stock market crashed all the people who invested in the stock market lost all their money. Now that people lost all their money now can’t pay the banks back so the banks went bankrupt. The banks were also barrowing people’s money to pay people who invest in stocks. This caused even people who didn’t invest in stocks at all to lose all their money thus causing the unemployment to rise tremendously.
The main purpose for this exhibit is to inform you on the topic of the Great Depression using primary and secondary sources. We will be explaining many factors that played into the Great Depression, some would include, the Stock Market crash, the unemployment rate raising, people were buying on credit, and buying on margin to name a few. Most people were investing in the stock market, this included anywhere from bell hops, to wealthy businessmen. People that didn’t have money to afford stocks would then buy on margin, which means they would barrow money from the bank to buy the stock and when they earn the money back they will pay the bank. This is also similar to buying on credit, where you buy something and promise to pay the money back over time. When the stock market crashed all the people who invested in the stock market lost all their money. Now that people lost all their money now can’t pay the banks back so the banks went bankrupt. The banks were also barrowing people’s money to pay people who invest in stocks. This caused even people who didn’t invest in stocks at all to lose all their money thus causing the unemployment to rise tremendously.
Source information: Kaiser in the Houston Post. This poster was published by Kaiser in the Houston Post within the first 100 days in Roosevelt’s Presidency in 1932. This poster refers to the New Deal and the government’s role in providing jobs for the unemployed during the Great Depression. This showed that people looked up to Roosevelt and that he could fix any problem the American economy had encountered such as the Stock Market crash. Though this photo is not correct, Roosevelt could not walk do to his polio and his legs were paralyzed.