The Great Depression in U.S Economy

2. Fraud and corruption play a part, just less than claimed by many. Insider trading, for example, was present except non widespread. 3. Margin buying is a nonher cause, but not a major reason for the come down. 4. Federal Reserve insurance was an important cause. M acetary policy was tightened, which encouraged lowering of contrast prices. In addition,

starting from the beginning of 1929, the interest rate aerated on broker loans rose tremendously. This policy reduced the amount of broker loans that originated from banks and lowered the liquidity of nonfinancial and other connection that financed brokers and dealers.

5. The statements of public officials led to the growing belief that stock prices were in any case high, and once prices began to fall, those statements greased the slide, in effect, for the crash. In this regard, perceptions are truly important in the rise and fall of the market. Hoover himself, just elected, declared that stocks were priced too high, and gave the impression he was going to be active in controlling the stock market. He was not active, however, and the market crashed, in part because of his statements.

Galbraith seems to feel the "speculative bout" is a particularly American condition: "No one can doubt that the American people remain convincible to the speculative mood---to the conviction that enterprise can be attended

Such conservative analysts argue that "An unrestrained market would not generate booms and clinical depressions and, if confronted by a depression brought about by prior intervention, it would

Galbraith shows in his book that individuals and groups in every sector of society, and at every level of government, were immoral in the crash. There were a few individuals who warned of imminent disaster, but their voices were cries in the wilderness of capitalist greed.

Stearns, Peter. "The Strange History of the cristal: Modernity, Nostalgia, and the Perils of Periodization." Journal of Social History, Winter 1998, Vol.32, No.2, 263-290.

A common lark about of all these earlier troubles was that having happened they were over. . . . The singular feature of the great crash of 1929 was that the worst continued to worsen. . . . Unlike these other occasions, in 1929 the ecological niche . . . got violently worse. This is the unique feature of the 1929 experience.

Ordercustompaper.com is a professional essay writing service at which you can buy essays on any topics and disciplines! All custom essays are written by professional writers!