What caused the Wall Street Crash, 1929 - PowerPoint PPT Presentation

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What caused the Wall Street Crash, 1929

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What was happening to the American Stock Market before the Wall Street Crash? ( 4) ... 'It was the fault of the banks that the Stock Market collapsed.' Do you agree? ... – PowerPoint PPT presentation

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Title: What caused the Wall Street Crash, 1929


1
What caused the Wall Street Crash, 1929?
  • A diagrammatic explanation

2
Early 1920s Boom Years
Difficulty selling goods
Share prices increase
Production stopped high unemployment
Depression
People borrowing money to buy shares
1928/9
Sell shares
Overproduction
3
Task 1 The Diagram
  • Using the 5 main reasons for the Wall Street
    Crash. Try to draw a diagram to explain how they
    linked together to cause the crash in 1929.
  • The purpose of this is to produce a visual plan
    of the causes which should help you to form the
    links/connections between the causes.

4
Diagram The Causes of the Wall Street Crash
2 Uneven distribution of wealth
1 Over production
3 Loss of export markets
5 Over confidence
4 PANIC
6 Wall Street Crash
5
Task 2 The Questions
  • Think about the style of questions you might get
    asking you about the Wall Street Crash
  • Describe (4)
  • Explain (6)
  • Explain and make a judgement (10)
  • Think of as many questions as possible that you
    might be asked.

6
Possible Questions
  • What was the Wall Street Crash? (4)
  • What was happening to the American Stock Market
    before the Wall Street Crash? (4)
  • What were the main causes of the Wall Street
    Crash?
  • What were Speculators?
  • What caused American's to be over confident?
  • Describe what happened on Black Thursday?

7
Possible Questions
  • Explain why America could not sell their goods
    aboard. (6)
  • Explain why the Wall Street Stock Market
    crashed? (6)
  • Why were companies overproducing in America in
    1929? (6)
  • Why was uneven wealth a problem? (6)
  • Why did people panic when share prices fell? (6)

8
Possible Questions
  • Over production was the only reason for the Wall
    Street Crash. Do you agree? (10)
  • Over confidence was the most important cause of
    the Wall street crash. Do you agree? (10)
  • It was the fault of the banks that the Stock
    Market collapsed. Do you agree?
  • The Wall Street Crash was inevitable. Do you
    agree with this statement? (10)

9
Over production was the only cause of the Wall
Street Crash. Do you agree? Explain your
answer. (10)
10
Other questions Choose one and have a go at
answering it (you would have about 20-25 minutes
to complete this question in the exam).
  • Over speculation was the most important reason
    for the Wall Street Crash. Do you agree?
    Explain your answer. (10)
  • The following are all equally important reasons
    why the Wall Street Crash happened (i) over
    confidence, (ii) over production, (iii) uneven
    distribution of wealth. Do you agree? Explain
    your answer. (10)
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