Causes & Early Effects of the Great Depression

1. What happened on "Black Tuesday"?
Black Tuesday was the day the stock market crashed and the U.S economy crashed.
2. How did the economic trends of the 1920s in industry, agriculture, and with consumers help cause the Great Depression? (Make sure you include significant details about each area in your answer. It should be at least a paragraph)
The industries like coal and agriculture which Europe and America bought so much of in World War I suffered greatly because the demand wasn't as big as it used to be and therefore they lost a lot of their products and profits causing the farmers and the companies to lay people off and try to salvage what was left. This cause consumerism to go down dramatically because if people didn't have jobs and money then they didn't buy things and be consumers.
3. According to your reading, what are the major causes of the Great Depression?
The causes of the Great Depression were the markets in europe being cut because of them trying to stabalize their economies by making tariffs and having war debts. The argicultural market breaking down and all the farmers losing their land. Credit payments that people couldn't pay put them into huge debt. Finally the gap between the income levels hurt the economy tremendously.
4. What was Hoover’s philosophy of government?
He thought the citizens should succed or fail by their own merit and that the government shouldn't help the people economically.
5. What was Hoover’s initial reaction to the stock market crash of 1929?
Hoover brought all the business, banking , and union leaders together and asked them to try and fix the economy by not cutting wages and hours and by not asking for higher wages.

6. What was the nation’s economic situation in 1930?
The economy was becoming worse and more companies went bankrupt and more people lost their jobs.

7. How did voters in 1930 respond to this situation?
The people voted in more Decomcrats than Republicans.

8. What did Hoover do about the economic situation?
He made the Federal Farm Board which helped farmers increase the price of their crops and the National Credit Corporation which was the nation's largest bank loaning money to small banks therfore helping them avoid bankrupcy.

9. How did the economy respond to his efforts?
The economy still worsened even with Hoover's efforts.