The Second Great Depression 2007
Causes of a Depression:
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Wall Street Crash
Debt - Government deficit spending
Trade decline
U.S. Federal Reserve and money supply - April 27, 2006 - (US Federal Reserve ceases to publish M3 index)
Business
Economic collapse:
(An economic collapse is a devastating breakdown of a national, regional, or territorial economy.)
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The automotive industry was the driving force behind many other booming industries in the 1920's. By 1928, with over 21 million cars on the roads, there was roughly one car for every six Americans. The first industries to prosper were those that made materials for cars. The booming steel industry sold roughly 15% of its products to the automobile industry. The nickel, lead, and other metal industries capitalized similarly. The new closed cars of the 1920's benefited the glass, leather, and textile industries greatly. And manufacturers of the rubber tires that these cars used grew even faster than the automobile industry itself, for each car would probably need more than one set of tires over the course of its life. The fuel industry also profited and expanded. Companies such as Ethyl Corporation made millions with items such as new "knock-free" fuel additives for cars. In addition, "tourist homes" (hotels and motels) opened up everywhere. With such a wealthy upper-class many luxury hotels were needed. In 1924 alone, hotels such as the Mayflower (Washington D.C.), the Parker House (Boston), The Palmer House (Chicago), and the Peabody (Memphis) opened their doors. Lastly, and possibly most importantly, the construction industry benefited tremendously from the automobile. With the growing number of cars, there was a big demand for paved roads. During the 1920's Americans spent more than a $1 billion each year on the construction and maintenance of highways, and at least another $400 million annually for city streets. But the automotive industry affected construction far more than that. The automobile had been central to the urbanization of the country in the 1920's because so many other industries relied upon it. With urbanization came the need to build many more apartment buildings, factories, offices, and stores. From 1919 to 1928 the construction industry grew by around $5 billion dollars, nearly 50%.
Sounds great! BUT WHAT the hell happened?!?
What makes you think that it can't or wont happen again?
What makes you think that we would ever be able to recover if it happened again?
Were so fucked and most of the population does not even know it.
Guys ALL the automotive sales is failing. The last thing anyone is going to do when times are tough is BUY A NEW CAR! Come on wake up, we have been fluttering like a wounded fish for the past 8 years how much longer do you think we can make this sick and dying economy live?
-------------------------------------------------------
Wall Street Crash
Debt - Government deficit spending
Trade decline
U.S. Federal Reserve and money supply - April 27, 2006 - (US Federal Reserve ceases to publish M3 index)
Business
Economic collapse:
(An economic collapse is a devastating breakdown of a national, regional, or territorial economy.)
------------------------------------------------------------------------
The automotive industry was the driving force behind many other booming industries in the 1920's. By 1928, with over 21 million cars on the roads, there was roughly one car for every six Americans. The first industries to prosper were those that made materials for cars. The booming steel industry sold roughly 15% of its products to the automobile industry. The nickel, lead, and other metal industries capitalized similarly. The new closed cars of the 1920's benefited the glass, leather, and textile industries greatly. And manufacturers of the rubber tires that these cars used grew even faster than the automobile industry itself, for each car would probably need more than one set of tires over the course of its life. The fuel industry also profited and expanded. Companies such as Ethyl Corporation made millions with items such as new "knock-free" fuel additives for cars. In addition, "tourist homes" (hotels and motels) opened up everywhere. With such a wealthy upper-class many luxury hotels were needed. In 1924 alone, hotels such as the Mayflower (Washington D.C.), the Parker House (Boston), The Palmer House (Chicago), and the Peabody (Memphis) opened their doors. Lastly, and possibly most importantly, the construction industry benefited tremendously from the automobile. With the growing number of cars, there was a big demand for paved roads. During the 1920's Americans spent more than a $1 billion each year on the construction and maintenance of highways, and at least another $400 million annually for city streets. But the automotive industry affected construction far more than that. The automobile had been central to the urbanization of the country in the 1920's because so many other industries relied upon it. With urbanization came the need to build many more apartment buildings, factories, offices, and stores. From 1919 to 1928 the construction industry grew by around $5 billion dollars, nearly 50%.
Sounds great! BUT WHAT the hell happened?!?
What makes you think that it can't or wont happen again?
What makes you think that we would ever be able to recover if it happened again?
Were so fucked and most of the population does not even know it.
Guys ALL the automotive sales is failing. The last thing anyone is going to do when times are tough is BUY A NEW CAR! Come on wake up, we have been fluttering like a wounded fish for the past 8 years how much longer do you think we can make this sick and dying economy live?
posted by pcharles23 at 4:39 PM
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