![]() A bank fails when its assets become less than its liabilities and when people don’t repay their loans. We didn’t have deposit insurance back then, so when the banks shut down, people lost their money. ![]() ![]() The Great Depression really began when the banks started failing in 1930, and then there were more bank failures in 19, leading to a bank holiday when FDR became president in ’33. Schwartz’s book A Monetary History of the United States, 1867–1960 pointed out there was no connection between the 1929 Wall Street crash and the Great Depression. So what was the real story? The banks extended too many bad loans the banks were speculating too much. People ignore the fact that the stock market had a strong recovery after the crash because it’s inconvenient for the story. If you go from Black Thursday to Good Friday 1930, which was in the middle of April, the stock market was back up to just about the same level. The crash occurred in late October and early November of 1929. This is part of every schoolkid’s learning in social studies, but financial historians don’t think the evidence is very strong for that. The great myth is that the stock market crash caused the Great Depression. What do people tend to get wrong about the 1929 stock market crash? But the economy then was used to having recessions every two or three years, so there’s no reason why that recession had to turn into a Great Depression. It was a prosperous decade, but there was an economic slowdown at the end of the decade, a recession that had started in the second half of 1929. ![]() I used to compare it to my students to the 1990s. The 1920s were a period of great prosperity. The Federal Reserve in the summer of 1929 was worried about the excess of speculation so they actually did a tightening at the beginning of September. easy money is good for the stock market, which is fairly true. The fact that the market had fallen 10% before the bankers intervened made other people wary of the market and probably they’re the ones who started selling the following Monday and Tuesday. We promise you won’t leave hungry.There is a famous story, we don’t know if it’s true, about how in the late summer of 1929, a shoe-shine boy gave Joe Kennedy stock tips, and Kennedy, being a wise old investor, thought, “ If shoe shine boys are giving stock tips, then it’s time to get out of the market.” So the story says Joe Kennedy sold all of his stocks and made a killing, and maybe that’s the beginning of the fortune that made JFK president three decades later. Click on the eateries to learn more about the restaurants and for a preview of the menus. Time Out Market New York offers a diverse roster of restaurants and bars, complemented by cultural experiences, so that you can taste classic New York dishes-think hot pastrami sandwiches and incredible pizza-as well as new fixations, including the best Thai seafood dishes in the city. Our editors ate countless meals and drank more than a few cocktails to find the best the city has to offer under one roof. Now, your challenge: deciding what to order. (We've also launched the option to have our food delivered or picked up for takeout with our very own app for ordering.) Just as impressive are the eateries that fill the expansive 21,000-square-foot space in the historic Dumbo warehouse Empire Stores (55 Water St, Brooklyn). Time Out Market New York is sandwiched (mmm, sandwiches) between the Brooklyn and Manhattan bridges with the best waterfront restaurants- and views-this side of the East River.
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