8
Unit 6: The Roarin’ 20s, Great Depression & WWII 1. Buying on Credit

1. Buying on Credit. SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Embed Size (px)

Citation preview

Page 1: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Unit 6: The Roarin’ 20s, Great

Depression & WWII

1. Buying on Credit

Page 2: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

SWBAT describe the uses of credit in the economy and

assess the impact it had on the purchasing patterns of Americans with relation to the Stock Market.

Lesson Objective

Page 3: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Speculation Investments in stocks in the hope of making financial gain, typically based upon

little real information. Consumerism

The preoccupation of society with purchasing consumer products (i.e. appliances, clothing, automobiles) often with borrowed money (credit).

The Stock Market Define these terms:

Stock Stock Market Debt Credit

Chart & Share Out Discussion

How does one make money from investing in the stock market?

Word of the Day/Initial Activity

Page 4: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Focus Question: How does easy credit lead to mass consumption?

Activity Fill in the lists on your graphic organizer List 1 Make a list of everything you could possibly want

Put a check next to everything you could afford right now with money you have.

Share Out List 2 Use the same list of everything you could possibly want

Circle every item you could afford if you have a credit card with a spending limit of $5,000

Extension Questions How can credit cards change your life? How can credit cards change America’s economy?

Share Out

Activity 1: Causes of Mass Consumerism

Page 5: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

2 minute to write down a response to this

question:

How might buying goods on credit have a down side?

Turn & Talk: 30 seconds per partner Share Out

Mass Consumerism QuickWrite/ Turn & Talk

Page 6: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Focus Question: How did Americans use easy access

to credit to purchase stocks on the stock market?

Read The 1920s Stock Market What is a “stock market boom”? How did the way Americans invested in the stock market

change during the Roarin’ 20s? Write a claim, provide 1 piece of evidence and analyze

Extension Activity How could Americans purchasing stocks on credit have a

down side? Share Out

Activity 2: The 1920s Stock Market

Page 7: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

1. “Return to Normalcy” a. After WWI President Harding says its time for America to return to normal

way of life. a. President Coolidge returns America to Laissez-Faire economics.

2. Credit a. Banks lend money to people to buy goods. Consumers pay back loan

over time. Great for economy, everyone makes money. 3. The Stock Market

a. People buy “shares” of a company. When others buy shares the entire stock market value goes up and everyone makes money. a. 1920s experienced a “bull market”- prices go through the roof.

4. Margin Loans a. People make so much money on stocks that they borrow money from

banks to buy more and more stocks. b. Problem: if the price of stocks goes down people have to pay back loans

with money they don’t have. a. Causes stock market to crash erasing everyone’s money.

Mini-Lesson

Page 8: 1. Buying on Credit.   SWBAT describe the uses of credit in the economy and assess the impact it had on the purchasing patterns of Americans with relation

Exit TicketWhich major trend characterized the 1920's and continues today?

a. retail buying on installment creditb. legal discrimination against eastern European immigrantsc. the steadily increasing power of established churchesd. the mass migration of northern blacks to southern rural areas

2) Share with me one thing that you find interesting from class today. Why do you find it interesting?3) Share with me one-way in which the information from class today affects your life today.

Summary