Hoover foresee for the future of the united states is described below.
Explanation:
1.In March 1929, Hoover rode down Pennsylvania Avenue in Washington in the rain to become the new president.he said that "I have no fears for the future of our country," he told the cheering crowd. "It is bright with hope."
2.Herbert Hoover have the right experience to lead the country to new economic progress. He had training in engineering, business,national leadership and he also understood economics and had faith in the future of private business.
3.The New York Stock Exchange reacted to the new president with a wild increase in prices. During the months after Hoover's election, prices generally rose like a rocket. Stocks valued at one hundred dollars climbed to two hundred, then three hundred, four hundred. Men and women made huge amounts of money overnight.
Publications and economic experts advised Americans to buy stocks before prices went even higher. Time and again, people heard how rich they could become if they found and bought stocks for companies growing into industrial giants.
The president himself urged stock market officials to make trading more honest and safe. And he approved a move by the Federal Reserve Board to increase the interest charged to banks.
4The number of houses being built was dropping. Industries were reducing the amount of products that they held in their factories. The rate of growth in spending by average Americans was falling sharply. And industrial production, employment, and prices were down.
These experts warned that the American economy was just not strong enough to support such rapid growth in stock prices. They said a stock price could not increase four times while a company's sales stayed the same. They said the high prices were built on foolish dreams of wealth, not real value.
But the prices went still higher. Buyers fought with each other to pay more and more for company stocks. The average price of all stocks almost doubled in just one year.
5.In September, nineteen twenty-nine, stock prices stopped rising.
During the next month and a half, stock prices fell, but only slowly. Then suddenly, at the end of October, the market crashed. Prices dropped wildly. Leading stocks fell five, ten, twenty dollars in a single day. The stock market collapsed on Thursday, October twenty-fourth, nineteen twenty-nine. People remember the day as "Black Thursday," the day the dreams ended.
6.Several government economic policies also helped cause the stock market crash of nineteen twenty-nine. Government tax policies made the rich richer and the poor poorer. And the government did little to control the national money supply, even when the economy faced disaster.
The stock market crash marked the beginning of the Great Depression -- a long, slow, painful fall to the worst economic crisis in American history. The Depression would bring suffering to millions of people. It would cause major political changes. And it would be a major force in creating the conditions that led to World War Two.
