Modern American Financial History

MODERN AMERICAN The contemporary history of American finance has experienced its share of cloudy days, sunshine and thunderstorms. From the 1920's stock market crash to the boom of social network companies, America's economy has seen it all. CREDIT SEASON wwW.CREDITSEASON.COM What lies ahead for the world's biggest economy? FINANCIAL HISTORY ZHRENITESESTIS দ ONE DOLLAIR 1920-1929 1960-1969 U.S. continues as the primary financial, manufacturing, and military power in the world, in direct competition with the USSR. 1930-1939 1940-1949 1950-1959 1910-1919 1980-1989 4 1990-1999 2 2000-2009 & 2010 - PRESENT 11I US involvement in WWII Economic growth Stock Market Crash, 1929. Beginning of the Great Depression. Fast preceding growth in auto, oil, tourism, construction, and other Unemployment rates 25% by 1932. 40% of banks go bankrupt after a bank run. Post-war prosperity ends in 1973 due to oil crisis, increased imports, deregulation of the economy, and the 1973-1974 stock market Business bankruptcies going as high as 50%. Dow Jones crashes in 1987, $500 bil- lion lost in one day. Na- tional debt during 1981- 1988 increases from $930 Investing pours into information technology companies. Enter the dotcom bubble. A marked Dotcom bubble bursts. Social Network boom continues. A rise of industries connected to from 1941 to 1945. War Market loses 75% of growth achieved in previous decade. with companies as Linkedin, Zynga, and Facebook going public. production dominates national manufacturing. Post-war prosperity starting in 1945 and lasting up to early 1970's. "Baby Boomers" emerge due to delayed childbearing and marriage age plus increased income. new technologies, such as aerospace. "Baby Boomer's" era reaches its peak. Real-estate market boom Deposits were not federally ensured up to increase in globalization and free trade. Stock from 2001 to 2007, until collapse in 2008 with house prices spiral- ing downward. Global reces- industries this decade. crash. Decade closes with billion to $2.6 trillion. market grows by 300%. the energy crisis of 1979. sion is launched. US$ BILLIONS 1930 1940 1950 1960 1970 1980 1990 2000 2010 III III II 9000 1939-1945 1987 DJ CRASH 1929 1973 OIL CRISIS STOCK WWI NATIONAL DEBT USS BILLIONS 25% MARKET Total amount of money borrowed by the government from any source. 6000 CRASH GROSS DOMESTIC PRODUCT USS BILLIONS Market value of all goods and services produced in a country during a period. UNEMPLOYMENT RATE AT 1932 3930 BI 3000 FEDERAL DEFICIT US$ BILLIONS UNEMPLOYMENT RATE ANNUAL, IN % The difference between the government's income and spending. 1.2% REFERENCES: TIMELINE www.federalreserve.gov/econresdata/statisticsdata.htm stats.bis.gow/home.htm www.bea.gov DATA CHARTS: chart 1900 2016USP XXs1li111mcn_Gof (U.S. Federal deficit) www.cbo.gov www.dol.gov www.treasury.gov/Pages/default.aspx www.treasurydirect.gov/govt/reports/pd/histdebt/histdebt.htm www.usgovernmentdebt.us/spending chart_1997 2017USD_HOf (U.S. debt) data.bis.gov/timeseries/LNS14000000 (U.S. unemployment rate) www.usgovernmentdebt.us/spenc http://www.usgovernmentspending.com/spending_chart_1920_2010USB_13s1li011mcnUS_Gross_Domestic_Product_GDP_History (U.S. GOP) www.commerce.gov