1. How does a person make money on an investment?
-Buy low, sell high, buy it cheaper than you sell it for.
2. What makes 'cheap credit' mean?
-Means the economy is going well, and it’s easy to get a loan.
3. What is 'buying on margin' mean?
-Investors only have to play 10% of the stock’s actual value.
4. How is 'speculation' different from 'investment'?
- Speculation is people selling stocks to make money.
- Investment is when someone likes what there getting.
5. How does 'panic selling' start?
-When everyone tries to sell at once and then the market bottoms out.
6. How can high unemployment start a negative economic cycle?
- Because people aren’t making money and people aren’t spending money. When they don’t spend the money the other factories can’t make money of the stuff people bought.
7. How did increases in technology contribute to overproduction in the 1920's?
- If a company makes 3 cars a day and then turns to technology the company can then turn out 6 cars in a day. The problem with this was, then they had no one to sell the other 3 cars too.
8. What is meant by 'uneven distribution of wealth? Is it a bad thing?
- Some people are wealthy, but more are poor. This was bad because most people were poor.
9. What is a tariff, and why don't they seem to work in the modern economy (post-WWI)?
- A tariff was an extra tax you have to pay for imported goods, beucase everyone started putting taxes on our stuff.
10. What is 'rugged individualism? Is it real?
-
11. What is a Hooverville, and why is it called that?
- Places where massive amounts of homeless people
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment