How Money Is A Crucial Part Of The World - 1334 Words

Money is a crucial part of the world we live in today. We spend many hours in the classroom, school, and at work doing what we can to earn our wages. In October of 1929, America’s economy crumbled and is known as the Stock Market Crash. The Stock Market Crash was an extreme downturn in the value of shares given to companies in America. These events didn’t all collapse in one day; they slowly happened over a two-week time period which highlighted the ending of what was known as the Roaring Twenties. The Crash was a long process Americans had to face before things started to return to their normal state. The process that led up to October 1929 saw equity prices rise to an astounding price of more than 30 times the average earnings. The†¦show more content†¦Businesses such as banks started to get overwhelmed because they wanted their money back from all brokers. As a result, brokers needed their money back from all customers. The only way most customers could thin k to earn the money back was to sell their stocks, and by doing this, they brought down the market and economy even more (Bondi, Baughman, et. al.). The panic continued due to a lack of information given because the prices posted on the ticker fell behind the actual prices of all the exchanges. This left everyone questioning the status of their earnings and where they would end up because of it. The aftermath of the Stock Market crash was so severe that some jobs were torn apart. Without work there were no earnings to be had. Americans got so desperate for money that they would risk anything to get back on track: â€Å"Businesses and investors who lost either their money or their confidence withdrew foreign investments†¦ which placed an even greater strain on U.S. businesses and banks† (Benson, Brannen, et. al.). Job titles were affected in a major way. Bankers and brokers who had been glorified since the market crash started were now despised. They were no longer presented with respected degrees or invited to important interviews. Instead they faced hatred from all congressional committees and even faced charges of mismanagement or criminal prosecution. By 1930, four million Americans were jobless and desperate; in a quick span of one