Economic Overview
Items like automobiles were rapidly bought from credit.Appliances were also rapidly bought aid of ads.Although economy boomed, some areas were still farming and mining.Buying from credit meant banks could lend you money.
Stock Market in The 1920s
On October 29, 1929 black tuesday hit Wall Street as investors traded some 16 million shares on the New York Stock Exchange in a single day.Billions of dollars were lost wiping out thousands investors in the aftermath the black mayor in the rest of the industrialized spiral down into the Great Depression the deepest and longest lasting economic downturn in history Western industrialized world that time.
The New Deal
Hoover, a Republican who had formerly served as U.S. secretary of commerce, believed that government should not directly intervene in the economy, and that it did not have the responsibility to create jobs or provide economic relief for its citizens. In 1932, however, with the country mired in the depths of the Great Depression and some 13-15 million people (or more than 20 percent of the U.S. population at the time) unemployed, Democrat Franklin Rosevelt won an overwhelming victory in the presidential election. By Inauguration Day (March 4, 1933), every U.S. state had ordered all remaining banks to close at the end of the fourth wave of banking panics, and the U.S. Treasury didn’t have enough cash to pay all government workers. Nonetheless, FDR (as he was known) projected a calm energy and optimism, famously declaring that “the only thing we have to fear is fear itself.”