Thursday, February 9, 2012

Panic!: A History of Financial Crisis Riley's Response

1. Why look beyond the Great Depression when trying to make sense of our current economic woes?
The great depression was only one event in a series of ups in downs.

2. Where are these professors from?
- Peter Onuf is the Thomas Jefferson Memorial Foundation Professor of History at the University of Virginia.
- Ed Ayers is President of the University of Richmond.
- Brian Balogh is a Professor of History at the University of Virginia.

3. What are some of the differences between the 19th century panics and those in the 20th century?
The panics in the 19th century were more about land. The panics in the 20th century were about stocks.

4. Briefly explain the "business cycle."
Business cycles or Trade cycles usually last from a decade or a dozen years. They usually follow a pattern where business start to expand and higher more people while producing more goods. Over time they start to have to pay more for raw materials and wages. At one point there is a peak where they have to cut back being the down cycle where unemployment happens. When the cycle hits the bottom the cycle starts again.

5. Define hubris. What example does Great Depression expert Michael Bernstein provide?
hu•bris |ˈ(h)yoōbris|
excessive pride or self-confidence.

He comments on the economists of the 1960s taming the business.

6. Name the years of five other Panics besides the Great Depression.
1. The Panic of 1819
2. The Panic of 1837
3. The Panic of 1873
4. The Panic of 1901
5. The Panic of 1907

7. Why do you think no one has ever paid to those who have lost money in these meltdowns even though laws were broken?
It is a risky thing to invest because profits are not guaranteed. Many people say if you don't have it to loose you shouldn't invest it.

8. Who made up the Progressive Party?
The Progressive Party was formed after a spilt in the Republican Party.

9. When did they form and what led to the formation?
The Progressive Party formed in 1912. Theodore Roosevelt left office in 1909 and selected William Howard Taft to succeed him. Roosevelt did not like what Taft was doing so he ran against him with the new Progressive Party.

1 comment:

  1. Overall extremely adequate effort, Riley. Do you have a missing word in #5? Also, I think you mean lose, not loose in #7. Correct me if I'm wrong, but I think the reparations would have been for those who were promised returns or whose money had been invested in places the investors either didn't understand or didn't know about.

    In another post, could you dig a little deeper into the Progressive Party?