American Society

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American Society
in the 1920s

• STOCK BROKERS IN THIS POWERPOINT
• -STOCK AND SHARES IN THE 1920s
• -THE GREAT WALL STREET CRASH

Jos Ma, Mabel Lo, Vinay Vaswani Megan Chan (9E)
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Whats a Stock Broker?

• A stock broker is a qualified professional who
  buys and sells shares in the stock market.
• A typical job of a stock broker would be to help
  a client invest money. After the investment, a
  percentage of the profit is then given to the
  stock broker.

Luck plays a big part in investing as well.
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Why Buy Stocks and Shares?

• People buy (and invest) stocks and shares to
  earn MONEY. They believed money would
  multiply.
• Buying stocks at LOWi, and selling at HIGHh.
• For example, when 1,000 shares of stocks is put
  into 1.00 worth stocks that rise to 1.50, 500
  is earned.

1,000 1.00 stocks/shares
INVEST! (1.00 increases to 1.50)
Stocks can be a quick way to earn money!
Investing is a form of earning money.
1,500 1.50 stocks/shares (500 profit)
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Wall Street

• Located in lower Manhattan, New York.
• It is a street that features many large financial
  office buildings and companies where stocks are
  traded, including
• NYSE New York Stock Exchange,
• NASDAQ ,
• AMEX American Exchange,
• NYMEX New York Mercantile Exchange,
• NYBOT New York Board of Trade etc.

A section of Wall Street today. The building on
the right (with the American flag) is the main
NYSE office building.
National Association of Securities Dealers
Automated Quotations
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Stocks and Shares in the 1920s

• During this period of time, stocks and shares
  rose at a phenomenal rate.
• Stocks rose by 65.
• Wages increased by 25.
• People began borrowing money to invest.
• In 1929, Wall Street crashed - America went into
  debt.

65
25
UH OH!
Americas wealth in the 1920s
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Quotes

• If a man saves 15 a week, and invests in good
  common stocks, and allows the dividends and
  rights to accumulate, at the end of twenty years
  he will have at least 80,000 and an income from
  investments of around 400 a month. He will be
  rich. And because income can do that, I am firm
  in my belief that anyone not only can be rich,
  but ought to be rich. John J. Raskob

John J. Raskob
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Quotes

• Major investor Will Payne, stated that the Wall
  Street Stock Exchange had become such an easy way
  to make money that it ceased to be a gamble,
  because in a gamble, someone loses but when
  invested in stocks and shares, everybody wins.
• People thought the market could sustain the
  growing high prices, Stock prices have reached
  what looks like a permanently high plateau.
  Irving Fisher.

Irving Fisher
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Records!

• On October 24th, 12,894,650 shares were sold,
  setting the record in its time. Then, on October
  29th, approximately 16.4 million shares were
  traded, breaking the record that was set 5 days
  earlier, only to be exceeded in 1969.

Crowd gathering outside NYSE after the crash
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Losses

• The loss from the crash was unbelievable
• 12 million people went out of work,
• 12,000 people was made unemployed everyday,
• 20,000 companies and 1616 banks had gone
  bankrupt, and
• 23,000 people committed suicide in one year the
  highest ever.
• The total loss by the end of the next week
  amounted to 30 million dollars, ten times more
  than the annual budget of the federal government,
  far more than the U.S. had spent in all of World
  War 1.
• Contributing to The Great Depression.

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Some affected Companies

• Statistics from the Great Wall Street Crash

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Thanks for listening
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Bibliography

• Images
• http//i23.ebayimg.com/02/i/08/10/3f/78_1_bol.JPG
• http//www.lancs.ac.uk/staff/ecagrs/Photo20Galler
  y20of20Economists_files/fisher.jpg
• Internet
• http//www.kgv.edu.hk/history/Y9/1920s/StockMarket
  .ppt
• http//www.spartacus.schoolnet.co.uk/USAwallstreet
  .htm
• http//www.historylearningsite.co.uk/wall_street_c
  rash.htm
• http//www.eyewitnesstohistory.com/snpmech5.htm
• http//en.wikipedia.org/wiki/Wall_Street_Crash_of_
  1929
• Books
• THE USA 1919-1941, by Nigel Kelly

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