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FFFTTFReadthearticletocheckyouranswers.TheWallStreetCrashSomedisastersoftenkillpeopleinourlife,suchasearthquakesorfloods.Otherdisastersdonotkillpeople,buttheycandamageone’slife,suchastheWallStreetCrashonOctober24th,1929.WallStreetisastreetinNewYorkCitywheretheAmericanstockmarketisbased.Thestockmarketcrashmeantthatthesharepricesfellsolowthatmanycompaniesbecameworthless.Peoplewholosttheirmoneyandbusinesseswentbankrupt.Millionsofpeoplelosttheirjobs,andthentheirhomes.Theywentontheroadinsearchofwork,andmanyhadtobegforfood.Countlessnumbersdiedfromstarvationandillness.Onthemorningofthegreatcrash,thestockmarketonNewYork’sWallStreetbecameamess.Peopleweresellingsharesbecausetheyfearedthattheeconomywasbecomingbad.Asnewsofthefallingpricesspread,thousandsofsmallshareholderssoldtheirshares“atanyprice”.Becausetheycouldnotfindanybuyers,millionsofsharesbecameworthlessinamatterofhours.Asthestockmarketcrashed,thenumberoftheunemployedreached14millionandaverageincomeshalved.Americans,receivingnounemploymentbenefit,reliedonsoupkitchens—orbegging—tostayalive.Peoplesufferedterriblyuntil1933whentheeconomybecamebetterandmillionsofthepoorbegantofindworktodoandplacestolive.Readthearticleagainandanswerthefollowingquestions.1.Whatdoesthestockmarketcrashmean?

2.WhathappenedonOctober24th,1929?

3.WhatwastheresultoftheUSstockmarketcrash?

4.Whatisthemajordifferencebetweenanaturaldisasterandafinancialdisaster?Whatwillhappentothemifastockmarketcrashes?Fillintheblankswiththecorrectinformationaccordingtothearticle.1.pricesofshares2.valueofshares3.businesses4.peopleThestockmarketcrashmeansthatthesharepricesfallsolowthatmanycompaniesbecomeworthless.Peoplelosetheirmoneyandbusinessesgobankrupt.OnOctober24th,1929,theWallStreetStockMarketcrashed.Becauseofthestockmarketcrash,millionsofpeoplelosttheirmoney,jobsandhomes.Thousandsofbusinesseswentbankrupt.Peoplewentontheroadtolookforjobsandbeggedforfood.Countlessnumbersdiedfromstarvationandillness.Anaturaldisastermaykillpeopleallatonce,butafinancialonemaynot.Itmaydamagetheirlives.Thepriceswillfallquickly.Theshareswillbecomeworthless.Businesseswillgobankrupt.Peoplewilllosetheirjobsandthentheirhomes.Nameatleastthreebadthingsthatwouldhappentopeopleinthestockmarketcrash.Youmayusetheinformationinthearticle,andaddyourowninyourspeaking.Now,writethethreethingsonthelinesbelow.1.2.3.starvationcountlesseconomybenefitworthlessillnessrelyunemploymentbuyer()1.WhatwasthemostimportantreasonfortheWallStreetCrashin1929?A.Peoplesawthedangerinplayingthestock.B.Peopledidnotseethedangerinplayingthestock.()2.Whatwasthedangerinplayingthestock?A.Peoplebelievedmoneycouldgrowinthestockmarket.B.Peoplebelievedmoneycouldn’tgrowinthestockmarket.()3.Whydidmanypeoplebelievethattheycouldmakemoneyfromthestockmarket?A.Theycouldmakemoneybybuyinglowandsellinghigh.B.Theycouldmakemoneybyinvestingintherightshares.()4.Whatwastheproblemwiththisidea?A.Manypeopleplayedthestockwithborrowedmoney.B.Veryfewpeopleplayedthestockwithborrowedmoney.ABAATomandJimputtheirmoneytogethertoinvestinthestockmarket.Attheendoftheyear,JimwroteanotetoTomtoreporttheresultsoftheirbusiness.Nowreadtheletterandtheaccountsheet.DearTom,Wehavehadamixedresultthisyearinthestockmarket.Wemadesomemoney,andalsolostsome.However,wealmostbreakevenforawholeyear.Pleasefindenclosedthecopyofouraccountsheet.Iwillbepleasedtogiveyoumoreinformationifyouhaveanyquestions.Bestregards,JimI.Youshouldbeabletotalkabout:1.thereasonwhypeopleliketoplaythestock

2.therisksofplayingthestock

Peoplebelievethattheycanmakemoneyiftheybuylowandsellhighinth

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