Download Stock Prices Day 1

Thurs, March 15
 Beware the Ides of March…. Julius Caesar R.I.P. 44 BCE
 DUE TODAY: 31.3
 DUE MONDAY, 3/19: 31.4 (back page)
 Quiz on 31.2-31.4, and Stock Market graphs/q’s on Monday,
3/19 – can use your notes
 Don’t forget to work on your outside sources for your museum
research. You will not have enough time in the computer lab next
week to do all that research AND your resource list AND search for
your visuals AND write your descriptions… So be on top of it!
USSR - Communists
When people are
desperate…
Japan - Militarists
Italy –
Mussolini
 Must find a way to bring
economic prosperity back
to their countries during
the global depression
 U.S. & FDR
 Only the strongest
democracies survive in
Europe– Britain, France
Germany –
Hitler
 Elsewhere: Abandon the
governments that have
failed the people  new
leaders
The Age of Fascism
 Five prominent countries come under a form of
government called “fascism” – Soviet Union, Italy,
Germany, Japan, and Spain.
 We need to make sense of this word “fascism” – You
might be wondering: Is it like totalitarianism? Is it always a
dictator? Let’s find out!
The Age of Fascism
Directions – 25 minutes
 Read the front-and-back handout explaining ITALY, USSR,
GERMANY, and JAPAN. Fill out the “Fascism Chart”
 Use your 31.3 notes and your Fascism chart to add
information to your Archive Collection Sheet. Brainstorm
what to look up in some outside resources!
The Age of Stock Market
Speculation

In order for us to gain a better
understanding of how the stock
market operated in the
beginning of the 20th century
we will be running a stock
market simulation in class.

Speculation: Unsound or risky
investments in hopes of making
money quickly.

This simulation will allow us to
gain first hand experience in
stock market speculation and
the practice of buying stocks on
margin. Your group will get a
chance to test your investment
chops!
Stock Market Vocab:

What is the stock market?


What is “buying stock on margin”?


A system for buying and selling shares of companies. This was how
corporations were able to raise funds very quickly.
Purchasing stock with only a small down payment and taking a loan to
purchase the rest. ($1,000 = $10,000 in stock because if you have the $1,000
cash you can get a $9,000 loan)
What is a “margin call”?

To protect their loans, stockbrokers could demand the investor repay
the loan at once. This would occur if the price of a stock tanked. Not
all stocks tanked!!
Stock Market
Simulation :
Stock: is a share in the Company.
You buy stock. Then, if the stock
price goes up you may sell your
shares for a profit. If it goes down
you can either hold your shares or
sell them at a loss.

You will begin with $1,000.

You may use it to buy any
combination of shares.

Appoint a stock broker in your
group to check your math each
time you make a trade.

Throughout the simulation we
will be supplying you with
business news and tips to help
make your investment
decisions. You should decide
how much to trust these tips
based on what you see
happening in the market.

YES! you may purchase stock
on margin paying 10% cash and
90% on loan.
Stock Market
Simulation :
Stock: is a share in the Company. You buy
stock. Then, if the stock price goes up you
may sell your shares for a profit. If it goes
down you can either hold your shares or sell
them at a loss.

You will begin with $1,000.

You may use it to buy any
combination of shares.

Appoint a stock broker in your
group to check your math each
time you make a trade.

Throughout the simulation we
will be supplying you with
business news and tips to help
make your investment
decisions. You should decide
how much to trust these tips
based on what you see
happening in the market.

YES! you may purchase stock
on margin paying 10% cash and
90% on loan.
*REMEMBER: The stock market can go
up and it can go down. It is up to you to
decide your level of risk. More expensive
stock have a higher payoff, but you can lose
more if they tank.
You must make at least four trades during
the game (buying or selling stocks). You
can only make two moves during each
round.
Companies Selling Shares
 American Can: Tin Can manufacture
 American Telephone and Telegraph: AT&T
 General Electric: G.E.
 General Motors: G.M.
 United States of Steel: Steel manufacture
 Radio Corporation of America: R.C. A.
Example Stock Record
Sheet:
BUYING
SELLING
Example Stock Record
Sheet:
BUYING
SELLING
Round 1 open
Round 1 close
Example Stock Record
Sheet:
BUYING
SELLING
Example of loan
Example of selling w/ loan
The Simulation Set Up:
 Stock Tip: You will be given investment news or tips that
accurately reflect events in American business history.
 Price Graph: A visual representation of the price
movement of your investment.
 Opening Bell: Stock prices for each companies’ stock at
the open of trading.
 Closing Bell: Prices at the end of trading. Usually will be
the opening price for the next day.
Investment News!
 General Electric stock
looks to be on the rise with
the introduction of their
newest electric refrigerator!
 The new features and
added shelf space has all
the competition beat.
 I recommend investing
heavily in General Electric!
Opening Bell Day 1
 American Can
30
 American Telephone and Telegraph
115
 General Electric
140
 General Motors
10
 United States of Steel
85
 Radio Corporation of America
2
Closing Bell: Day 1
 American Can
75
 American Telephone and Telegraph
125
 General Electric
180
 General Motors
15
 United States of Steel
10
 Radio Corporation of America
6
Investment News!
 I just got a tip that
American Can is a hot
stock!
 The rumors on Wall Street
are that Tin prices are on
the decline allowing
American Can to increase
profit margins.
 This stock is sure to go sky
high!
Investment News!
General Motors has just introduced
their new Cadillac Coach and
Landau car models.
With a new look, stylish interior,
and more horse power these cars
have taken over the competition.
I’d recommend investing heavily into
General Motors!
Investment News!

American Can is making big
moves!

“American Can is sure to
continue and expand its
domination of the
manufacturing industry.
C.E.O., Nelson Peltz, just
announced that with the
companies assembly line
innovations they will be able
to increase production by 12%
over the next 2 years.”
-Business Weekly, 1929
Opening Bell: Day 2
 American Can
160
 American Telephone and Telegraph
130
 General Electric
320
 General Motors
65
 United States of Steel
120
 Radio Corporation of America
65
Closing Bell: Day 2
 American Can
290
 American Telephone and Telegraph
140
 General Electric
325
 General Motors
115
 United States of Steel
125
 Radio Corporation of America
75
Stock Movements
Investment News!
 There is speculation that a
merger between AT&T and
their European counterpart
is in the final stages of
approval.
 With this merger the
company would control 75%
of the telephone and
telegraph lines around the
globe.
 My advise: BUY!!!!!!!!!!!!!!!!!
Opening Bell: Day 3
 American Can
290
 American Telephone and Telegraph
140
 General Electric
325
 General Motors
115
 United States of Steel
125
 Radio Corporation of America
75
Closing Bell: Day 3
 American Can
50
 American Telephone and Telegraph
150
 General Electric
85
 General Motors
155
 United States of Steel
155
 Radio Corporation of America
60
Stock Movement
Investment News!

RCA has just put the finishing
touches on their 10 acre radio
manufacturing facility in New
Jersey.

The success of the nation’s first
private radio station will
increase public demand for
radios over the next decade.

This new facility will be able to
produce more than 2.5 million
radio units over the next 8 years
to meet the publics demand.
Opening Bell: Day 4
 American Can
50
 American Telephone and Telegraph
150
 General Electric
85
 General Motors
155
 United States of Steel
155
 Radio Corporation of America
60
Closing Bell: Day 4
 American Can
75
 American Telephone and Telegraph
180
 General Electric
135
 General Motors
140
 United States of Steel
150
 Radio Corporation of America
100
Stock Movement
Investment News!

U.S. Steel makes way for their
new 20 acre steel and iron
processing facility in
Youngstown, OH.

Groundbreaking has begun and
in anticipation of their
increased production stock
prices are expected to sky
rocket.

Jump on this flight before it is
too late.
Opening Bell: Day 5
 American Can
75
 American Telephone and Telegraph
180
 General Electric
135
 General Motors
140
 United States of Steel
150
 Radio Corporation of America
100
Closing Bell: Day 5
 American Can
110
 American Telephone and Telegraph
195
 General Electric
220
 General Motors
205
 United States of Steel
150
 Radio Corporation of America
420
Stock Movement
Investment News!
 The Market can do no
wrong!
 The American economy has
never been stronger.
 Invest across the board.
 With RCA’s sharp gains this
stock is sure to continue into
the black.
Opening Bell: Day 6
 American Can
110
 American Telephone and Telegraph
195
 General Electric
220
 General Motors
205
 United States of Steel
150
 Radio Corporation of America
420
Closing Bell: Day 6
 American Can
180
 American Telephone and Telegraph
335
 General Electric
395
 General Motors
180
 United States of Steel
280
 Radio Corporation of America
100
Stock Movement
Investment News!
 RCA flounders while the
rest of the market gains.
 GE, AT&T, and US Steel
lead the way as the market
surges forward.
 Diversify your portfolio.
Opening Bell: Day 7
 American Can
180
 American Telephone and Telegraph
335
 General Electric
395
 General Motors
180
 United States of Steel
280
 Radio Corporation of America
100
Closing Bell: Day 7
 American Can
85
 American Telephone and Telegraph
195
 General Electric
165
 General Motors
35
 United States of Steel
150
 Radio Corporation of America
25
Stock Movements
Discussion
 Did you make money, break even, or owe money to your
stock broker?
 What was your investment strategy? Did you play it safe
or take risk? Explain why you chose this strategy?
 Did your knowledge of the causes of the stock market
crash affect your choice of strategy?
Effects
 Signaled the beginning of the greatest economic
depression in the 20th century.
 30 billion in losses.
 Spread fear and panic throughout financial markets
 Caused 3,000 banks to fail.