Question

Listed in the Item Bank are key terms and expressions, each of which is associated with one of the columns. Some terms may display additional information when you click on them. Drag and drop each item into the correct column. Order does not matter.
Identify whether the item led to the Boom of the 1920s economy or was a reason for the Great Depression.

1. Assembly Line and industry growth
2. Buying on Margin in Stock Market
3. Growth in electricity and technology
4. Laissez faire economics
5. Not enough money in the money
6. Over speculation in the Stock Market
7. Overproduction of Agriculture products
8.Rising Stock Market prices

BOOM_______________________BUST

Answer 1

Answer:

Boom: Assembly Line and industry growth; Growth in electricity and technology; Laissez-faire economics; Rising Stock Market Prices.

Bust: Over-speculation in the Stock Market; Overproduction of agriculture products; Buying on Margin in Stock Market; Not enough money in the market.

Explanation:

The 1920s was a time of great economic prosperity and growth in the economy. There was increased consumerism and more middle-class families could access items like automobiles and in general, there was a lot of manufacturing and sales and investment in the stock market. To the extent that there was over-speculation as stock prices rose and people began to take loans in order to invest, which is called buying on margin in the stock market. The market crashed in October 1929 and people who had invested in the market lost heavily. It created a long-standing economic crisis called the Great Depression where the economy contracted and there was vast unemployment and hardships.

Answer 2

Answer:

1) Assembly line and industry growth, 3) Growth in electricity and technology, 6) Over speculation in the Stock Market, 6) Over speculation in the Stock Market, 7) Overproduction of Agriculture products, 8) Rising Stock Market prices.

Explanation:

The main causes of the 1920s boom and the Great Depression were the gigantic expansion of industry and agriculture due to cheap credits, crescent state intervention that favored such artificial conditions and the speculation in Stock Market, that led to high Market prices.

The industrial growth was favored by technological development and expansion of electricity.