The Great Depression Notes Vocabulary WordDefinition 1.Black TuesdayOctober 29, 1929: prices took the steepest dive. 16 million shares of stocks were sold, and the value droppedby 10%. 2.buying on marginPutting only 10% down and borrowing 90%3.Smoot-Hawley TariffWent into effect on 1930 just after the stock market crash. It raised customs duties on thousands of goods and contributed to a reduction of U.S. trade by more than half.4. HoovervillesAmericans found Hoover’s lack of leadership frustrating. The shanty towns that sprung on the outskirts of cities were called Hoovervilles.5. The Long Bull MarketA long period of rising stock prices ●Approximately 10% of American household owned stocks.●Buyers engaged in speculation which meant they were betting the market would continue to climb, thus enabling them to sell stock and make money quickly●Many investors bought stocks by paying only a fraction of the stock price and borrowing the rest●To protect a loan, a broker could issue a margin call, demanding the investor repay the loan at once.