HISTORY 1DD3 Lecture Notes - Lecture 13: Money Supply, World War I, Bourgeoisie
22 Oct 2017
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Comprehensive exam: 5/11/17: lack of available credit. For crash to subside someone needs to buy stock. During crisis banks tend to hold onto cash: heart (bank) doesn"t pump blood ($); money won"t move. No cash in reserve, no one can buy. Causes of great depression ( aws in economy that made the crash into the great. An economic slowdown marked by: money becoming extremely valuable. Everyone hoards it, no one wants to spend it. Very low prices: business and industry slow down. During the great depression unemployment reaches 25%: causes, unequal distribution of wealth, old, decaying industrial base, farm depression, credit, holding companies, bank runs, high protective tariff, federal reserve, unequal distribution of wealth. Wealthy terri ed by crash, hold onto money. Middle class had no money to spend (see credit) Overall demand for goods almost ends overnight: old, decaying industrial base. Companies are already inef cient and non-competitive: invested pro ts in market not business.
