Causes & Early Effects of the Great Depression

1. What happened on "Black Tuesday"?
"Black Tuesday" is the day that the stock market 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)
Economic trents of the 1920's in agriculture helped cause the great depression becuase farmers grew more crops and raised more livestock than they could sell at a decent profit. Consumers and farmers were steadily going deeper into dept becuase consumers could not pay for the crops. Industries helped cause the great depression becuase the industried such as railroads, textiles, and steel had barely made a profit. Railroads were loosing profit to new forms of transportations. Mining and lumbering which had expanded during wartime were no longer in high demand. Coal mining was hard hit to becuase there were new forms of energy. Consumers were not buying and these are the help that caused the great depression.


3. According to your reading, what are the major causes of the Great Depression?
According to my reading, the major causes of the Great Depression were the over making of goods and price becuase consumers could/would not buy things that were too expensive and things were increasing in value so when people bought them they lost money. Over making of goods led to the great depression becuase they would not be able to sell them and go into debt becuase they spend money on trying to make them.


4. What was Hoover’s philosophy of government?
Hoover's philosphy of government was that government should step in and help them find a solution that served their mutual interest. This cooperation must be voluntary rather than foreced, he said. Governments role was to encourage and faciliate cooperation, not to control it.


5. What was Hoover’s initial reaction to the stock market crash of 1929?
Hoovers initial reaction to the stock market crash of Ovtober 1929 was that he tried to reassure Americans that the nations economy was on a sound footing. The important thing was tfor Americans to remain optimisitc and go about their buisiness as usual. He also called together key leaders in the fields of buisness, banking, and labor. He urges them to work together to find solutions to the nations economis woes and to act in tways that would not make a bad situation worse.


6. What was the nation’s economic situation in 1930?
The nation's economic situation in 1930 was that Democrats took advantage of the anti goover sentiment to win more seats in congress. as a result of that election, the republicaans lost control of the house of representatives. Many americans were calling cities "hooverbilles" a direct slap at the presidents policies. many people were mad at hoover and should he was a hearless leader.


7. How did voters in 1930 respond to this situation?
Farmers stung by low crop prices, burned their corn and wheat and dumped their milk on highways rahter than sell it at a loss. Some farmers even declared a "farm holiday: and refused to work their fields.


8. What did Hoover do about the economic situation?
Hoover refuse to support the direct relief or other forms of deceral welfare. Hoover continues to hold firm to his principles.


9. How did the economy respond to his efforts?
They were going hungry, and many blamed Hoover for their plight.