Many investors had equated the health of the stock market with the health of the economy, but Black Tuesday challenged this premise. Over the course of the Depression, more people left the United States than entered it. They used the money they borrowed from their brokers.
They marched across the street and ceremoniously bought stocks at inflated prices. At the same time, news from Europe indicated an excellent harvest, which pushed commodity prices lower and rattled markets. The codes also exempted those involved in farm work and domestic labor, the occupations of a majority of southern black men and women.
It was inevitable, because of the tremendous increase in the number of stockholders in recent years, that the number of sellers would be greater than ever when the boom ended and selling took the place of buying.
It was only after President Franklin Delano Roosevelt was elected that the economy showed signs of taking a turn towards the better.
The Great Depression had certainly not ended, but it appeared to many to be beating a slow yet steady retreat, and Roosevelt, now safely re-elected, appeared ready to take advantage of both his popularity and the improving economic climate to press for even more dramatic changes.
Over the next several He graduated from Stanford University in and worked as an engineer for several multinational mining companies.
They frantically called their brokers. Congress passed the Glass—Steagall Act mandating a separation between commercial bankswhich take deposits and extend loansand investment bankswhich underwriteissue, and distribute stocksbondsand other securities.
He oversaw the rise of the Depression and drew from progressivism to address the economic crisis. Some state legislatures made it a crime to bring poor migrants into the state and allowed local officials to deport migrants to neighboring states.