To what extent was the Wall Street Crash a cause of the Great Depression of 1929? Support your argument with specific examples.
The Wall Street Crash was a cause of the Great Depression of 1929 because when the farmers were making more crops than they could sell they were then in debt. Once the farmers were losing money and their land they had to up the prices. With the prices risen the customers couldn't buy as much. And when the customers can't buy as much the stores lose money and the entire country falls. Then when the stock market came into play and bottomed out when homeowners could not pay the bank back for their loans that they used in the stock market the country as a whole no longer had money to pay back other European countries and didn't have money to pay to ship their goods to other countries.
Main Point 1
The Farms borrowed loans from the bank to pay for the mechinary that they bought when they were prosperous during the war.
Evidence
They had to pay for the mechinary but then when they no longer had money because America didn't have much money they had to get loans.
Details
When the farmers had to borrow money from the banks they couldn't pay them back so they went into debt and had to charge more money for their products.
Main Point 2
With the prices higher with farming the everyday buyer had to pay more money for their things.
Evidence
When the price of thing rose the buyers had less money because where they work isn't making enough money and they can't pay for the necesities.
Details
So therefore with the price rising on everyday goods the everyday people couldn't pay for it and so they resorted to the Stock Market.
Main Point 3
With the people of America resorting to the Stock Market they had no money to pay to buy stocks.
Evidence
Without money to buy the stocks they had to buy money from the bank. And since the bank never got paid back they were losing money and couldn't give people their money.
Details
With the people not making money and paying back the banks the stock market dropped.
Main Point 4
With the stock market crashing America couldn't pay foreign countries back such as Germany and Europe.
Evidence
With America not able to pay back foreign countries they also did not have the money to pay for the products to be sold in Europe.
Details
With the products unable to be sold in Europe America lost even more money because the demand was very low in America for buyers however they had no way to ship it to Europe.
Conclusion
So with the farming need dropping, the American need dropping and the Stock Market Crash it showed how the crash of the Stock Market affected America. What with them not being able to sell to Europe or pay back European countries.
Thesis
I. Main Point 1
a. Evidence 1 that supports Main Point 1
i. further supporting details
b. Evidence 2 that supports Main Point 1
II. Main Point 2.... and so on.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment