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Wiki User
∙ 11y ago
Wiki User
∙ 13y agoNeed to be more specific. My advice is to look up what event took place during the time or what was the cause of the crash. There are many Stock Market crashes. I need atleast the era or what generation it ocured and at what country...
Wiki User
∙ 9y agoThe US Stock Market crashed on October 29, 1929. The crash was the beginning of a depression so overwhelming, it lasted 10 years and affected many countries besides the United States.
Wiki User
∙ 11y agoThe American stock market has "crashed" numerous times throughout history. The most popular crash occured in 1929.
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∙ 14y ago1929
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∙ 14y ago1987
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How did the stock market crash?
A stock market crash is a sudden dramatic loss of value of shares of stock in corporations. Crashes are driven by panic as much as by underlying economic factors. They often follow speculative stock market bubbles such as the dot-com boom.The most famous crash, the Stock Market Crash of 1929, started on October 24, 1929 (known as Black Thursday), when the Dow Jones Industrial Average dropped 50%. This event preceded the Great Depression. The succeeding years saw the Dow Jones drop a total of over 85%. Richard Armour, in his satirical American history book It All Started With Columbus, remarked that the 1929 crash occurred "near the corner of Dun and Bradstreet".There was also a crash or "adjustment" on Monday October 19, 1987, known in financial circles as Black Monday, when the Dow Jones lost 22% of its value in one day, bringing to an end a five-year bull run. The FTSE 100 Index lost 10.8% on that Monday and a further 12.2% the following day. The pattern was repeated across the world.The stock market downturn of 2002 was part of a larger bear market and a Dot-com stock market bubble as well as Enron corruption that took the NASDAQ 75% from its highs and broader indices down 30%.Stock Market CrashDuring the 1920s, people invested in the Stock Market, hoping to make a profit on their investments. At the time, there was no supervision or government regulation of the Stock Market. By the end of the decade, prices of shares on the market reflected nothing more than the willingness of investors to pay those prices. Everyone expected the market to continue to rise. However, economic problems had already developed that would lead to the crash of the market. People invested in companies that were not economically sound. Businesses that appeared healthy had large inventories and could not sell enough of their products to justify the price of the stock on the market. Stock brokers gave loans, called margin buying, to people to invest in the stock market. When the brokers began to demand those margin payments, the investors did not have the money. There was over speculation by just about all the investors. At the time, even banks were permitted to invest customer's savings in the stock market. The market began to rise and fall in the fall of 1929. On October 24, known as Black Thursday, a record 13 million shares changed hands and the value of the stocks collapsed. On Tuesday, October 29, panic had set in and speculators dumped over 16 million shares on the market. But, there were no buyers for those shares. The "crash" on Tuesday created a paper loss of $30 Billion. AnswerThe actual stock market crash happened on what they call "Black Thursday" in 1929 (although there had been other critical and equally black days before that particular Thursday). At the time the stock market had absolutely no political oversight by any government department like we now have with the Securities and Exchange Commission (SEC), and stock manipulation by the big players was rampant and often ill-concealed. Small (and I mean the "ordinary working folk" started to believe that they too could buy stock, ride the coattails of the big financiers, and cash out before a stock bust. You have to remember that this was at the end of a decade of the most rampant and conspicuous prosperity and consumerism; it was (although nobody new it at the time) the end of The Jazz Age and nobody thought the good times could, should, or ever would, come to an end. The small-time players' problems started because they were allowed to buy stock with just 10 percent down; what is called buying on a margin. But, when a stock inevitably tanks as the big manipulators feel they have driven a stock as high as they can, the little guys have to come up with money or they lose the stock. And the money they put in. Some of the BIG players lost money, of course, but comparatively few of them were wiped out as the small players were. Mostly this was because they were all in on the insider dealing, and the stock the little fish was buying was stock that had been dumped by the big players who were, by now, manipulating another stock to the stratosphere. A few of them did bust of course, and a few of them took there own lives although precious few of them actually rained down from upper-floor windows as is popularly believed. That's the short answer to WHAT. The WHY is much more complex, and you'd be hard pressed to find an economist who could tell you exactly why. A good, short and easy to read paperback (considering the subject is economics) to get hold of from Ebay or Amazon or anywhere else is from the great Harvard economist John Kenneth Galbraith: "The Great Crash of 1929" published by Avon Books. Even Galbraith cannot point to a specific single reason for the crash, but there was plenty of blame to go around.
What threatened the economic good times 1920?
During the 1920s, agriculture wasn't doing so well. Farmers were having a hard time recovering from WWI because they had planted a surplus of food and suddenly had no market at the end of the war. And in 1929, the stock market crash occured and America went into a downward spiral into the Great Depression, ending the economic good times of the 1920s.
How much does warren buffet earn per hour?
That is kind of hard. He is not like Bill Gates who was constantly getting checks everytime someone buys his company's computer stuff.Warren buffet's income is based off of the stock market, so he may make $30 billion in a year if the stock market does good or he may lose $30 billion in a year if the stock market does bad.He isn't a big spender however, and I believe he only lives off of $100,000 a year no matter how much he makes or loses.
What were some of the weaknesses in the American economy in 2008 which have been labeled a recession year?
The idea that in 2008 or other years near that date consisted to be a "Great Depression" is false. As an example, the unemployment rate in the depression of the 1930's was 25% of the workplace. Also, a stock market crash was demonstrated on several occasions in the late twenties as an example. No such fall in prices to the extent of that economically recognized "crash" happened in 2008 or years near that year.Some of the weaknesses in the United States economy in the midst of the fall in stock prices were low quarterly economic growth numbers, an unstable employment level, low housing values and unconventional asset purchases by the Federal Reserve Bank of NY.
What was cause of the 1929 stock market crash?
As strains in the Stock Market accumulate, more and more investors become aware of the potential problem and its consequences. A crash usually must have a trigger to cause a sudden decline. the first six months of 1929, was a record half year. Iron and steel led the way with doubled gains.[21] Such figures set up a crescendo of stock-exchange speculation which had led hundreds of thousands of Americans to invest heavily in the stock market. A significant number of them were borrowing money to buy more stocks. By August 1929, brokers were routinely lending small investors more than two thirds of the face value of the stocks they were buying. Over $8.5 billion was out on loan, more than the entire amount of currency circulating in the U.S. at the time.
What president was during 1929 crash of stock market?
Herbert Hoover was president during the 1929 stock market crash. He succeeded Calvin Coolidge in March of that year.
In what year did the stock market crash?
If you're referring to the crash that spawned the Great Depression, it was 1929.
Which of these events marked the beginning of the Great Depression?
The Stock Market crash. It is also called Black Tuesday and the year is 1929.
What year did stock market crash into Great Depression?
October 29th, 1929
In what year did the stock market crash causing the great depression?
October 29, 1929
What year did the stock market crash during World War 1?
During The 1920's
The good times of the 1920's came to an end with the stock market crash in what year?
October 29 1929
Why is the stock market down?
From the expert who was predicting a crash for over a year: http://articles.moneycentral.msn.com/Commentary/ByAuthor/BillFleckenstein.aspx
What is The year in which the Stock Market crash started the Great Depression after an incredible plunge which made millionaires into paupers in hours was?
1929 (:
The stock market crashed on octobetr 29 of which year?
1929 Also known as Black Tuesday - October 29, 1929
What year was the recent stock crash?
2008
What were 3 causes of stock market crash?
The major reason for a stock market crash is driven by investors sentiments. And these sentiments can be affected by change in government policies, external event or any kind of uncertainty that might affect the the investment climate negatively. If this question pertains to the stock crash that happened 1 year back, then the major reason for it was fleeing of foreign investors from India in a quick span of time. Investors supposedly were facing a liquidity crunch due to loans, foreclosures etc and in order to create liquidity, they started selling of shares in the Indian market to get back their money. Such a behaviour by foreign investors created a stock market crash.
