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Showing posts from May, 2020

BLACK THURSDAY

BLACK THURSDAY We remember that the allied powers won the World War - I and USA was a part of the allied powers. After World War - I there was optimism in the US economy and it was all bullish. The industries grew and there was a huge demand for white goods. People were buying more and more. It was because of the policy of USA which was “Buy now pay later” that has put a large chunk of disposable income in the hands of consumers. Since World War 1, the USA government has raised a lot of money from the citizens of USA through bonds. For reference (if you have watched the movie “Captain America-The First Avenger” in that when Steve got his powers and the colonel Chester Phillips didn’t want him to fight in the war so he started doing stage shows, he was basically trying to popularize and sell the US Bonds). As the US bonds were highly liquid and also earned a lot of interest income for the consumers, the consumers were in a habit of buying them. Since the war was ove