Question

7.8 american experience: the crash of 1929 video guide1. what did they call the decade of prosperity and endless optimism that they thought would last forever?2. what song represented the optimistic feeling of the 1920s?3. what do you call a share of a company that is bought and sold at the new york stock exchange?4. what did herbert hoover promise in his presidential campaign speech?5. what does consumer credit mean?6. who came up with the idea that the general public could buy stocks along with the wealthy people?7. what strange place did people get their stock buying tips from?8. what is borrowing money to buy stocks called?9. what is it called when wealthy investors pooled their money in a secret agreement to buy stocks and artificially inflate its price then sell it to others so that they could make large profits?

Explanation:

1. This refers to the 1920s era of U.S. prosperity.
2. This song was a cultural touchstone of 1920s optimism.
3. This is the standard term for tradeable company shares on this exchange.
4. Hoover's campaign focused on economic prosperity for all.
5. This is a core financial concept for consumer purchasing.
6. This figure promoted broad stock market access in the 1920s.
7. This unusual source was a popular, unqualified tip provider.
8. This is the specific financial term for leveraged stock buying.
9. This is the term for this manipulative stock market scheme.

Answer:

1. The Roaring Twenties
2. "Happy Days Are Here Again"
3. A stock (or common stock)
4. He promised a "chicken in every pot and a car in every garage," and widespread economic prosperity.
5. Consumer credit is a type of credit that allows individuals to borrow money to purchase goods or services, to be paid back later with interest.
6. Charles E. Mitchell (head of National City Bank)
7. Taxi drivers (or other unqualified, non-financial workers)
8. Buying on margin
9. A stock pool (or pool operation)