Answer:
What made the Great Depression "Great" was the government response. Constant changes the regulatory environment, tax increases, massive deficits, and failure to let the market correct paralyzed the economy in its depressed state for 15 years.
Both were caused primarily by an over expansion of credit rooted in loose money supply. The monetary response to the current recession has been different. Rather than tightening to force the market to bottom, the Fed has maintained low rates in an effort to re-inflate the bubble conditions. Hoover/Bush & FDR/Obama responses are similar as all tried to spend their way out of the problem.
1929 crash:
After WWI, Britain reset the pound to the pre-WWI level even though their money supply had far exceeded pre-WWI levels. In an effort to slow the flight of gold from Britain, the US federal reserve (led by Benjamin Strong) lowered interest rates. As always, artificially low interest rates caused massive distortions in asset values. Money flowed into the stock market and people who would not normally have been stockholders bought stocks in place of other investments that would have yielded better interest rates absent fed policy. Margin was used excessively because the real cost of leveraging was distorted by fed interest rate policy.
The fed continually lowered interest rates all the way into 1929. When the bubble popped, they tightened policy and raised rates. This contributed the deflationary spiral; however, the deflationary spiral could not have been as severe without the loose policy during the bubble.
2008 crash:
Beginning in the early 1990s, the federal reserve (led by Alan Greenspan) lowered rates while monitoring consumer prices as indicators of inflation. They ignored bubbles in the stock market directly caused by their inflationary monetary policy. When the stock bubble popped, they lowered rates further and pushed misdirected investment towards other assets - most commonly housing.
After the attacks of 9/11/2001, the fed pushed rates to 0 (long term rates were effectively negative and continue to be).
Explanation:
Answer:
The widening channel of a river where it meets the sea, mixing fresh water and salt water
<span>Colonial governments in the years gone by had a style of
their own. It was a style of government where the views of the colonized people
were given the least amount of importance or no importance at all. The controlling
power of the colonial government remained at the hands of a Governor. A council
was also formed to assist the Governor with his or her works and decision
making. Governor was considered the supreme authority. In colonies formed by the British, the King
or the queen chooses the Governor. </span>
Answer:
1000 years
Explanation:
The timeline provided shows the major vents in the history of Ancient Egypt. We can see that Upper and Lower Egypt have unified in 3100 B.C. The ruler who unified the lower and upper Egypt was Menes, who also started the First Dynasty of Egypt.
By the timeline, Middle Kingdom started in 2100 B.C<u>.</u> This period is started with the reunification of Egypt after the Old Kingdom and the age during which Egypt wasn’t as powerful. Mentuhotep II is the one who reunited Egypt and the first pharaoh of the Middle Kingdom.
<u>We can therefore conclude that the Middle Kingdom started 1000 years after the first unification of Egypt.</u>
