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the economic development of the united states entered an era of rapid development in the 1920s. at that time, the u.s. economy was booming and was known as the "roaring twenties." at that time, the u.s. stock market rose and large groups of ordinary people poured in. the stock market does not require any stock knowledge at all. you can make a lot of money by just buying it. whatever you buy will rise, but what happened after that?

it's a plunge, it's a collapse, it's the beginning of ordinary people's nightmares.

after the great depression, more than 5,000 banks in the united states collapsed, 130,000 industrial and commercial companies collapsed, the gross national product dropped from 104 billion us dollars to 41 billion us dollars, and more than 15 million people could not find jobs. according to september 1932, according to fortune magazine statistics in september, 34 million adult men, women, and children in the united states had no income that year, a number that exceeded a quarter of the total u.s. population. large slums appeared in cities. in 1931, the unemployment rate in the united states was as high as 25%. workers' wages generally dropped, and wages and benefits were significantly reduced (by about 40%, and one said the average wage level dropped by 56%). , social order has become unstable, religions and cults have become popular, gangs have greatly expanded, grassroots ruling organizations have collapsed, a large number of gangs have appeared, civil unrest has become commonplace, and robbery and extortion have become commonplace. the quality of life of ordinary people has dropped greatly, and americans even have to use packaging bags to make clothes...

in recent years, the world economic situation has become more and more worrying. many economists have issued warnings about the great depression. they hope that this is all their imagination, but they still have to prepare for the worst. today’s article is to teach you how to protect yourself during the great depression.

i hope that day never comes, and i also hope that everyone can be prepared and be able to successfully survive the possible economic depression.

no matter what happens, the world will eventually move on. as ordinary people, we have to consider more personal and family risks. what should we do if an economic depression occurs?

next, let’s talk about how ordinary people should survive the great depression:

first of all, you must keep your job, even if it is an ordinary and hard job. if you have a job, you will have income, and if you have income, you will have hope. even if you don’t like your job now, you should never resign before you find a good job, because under the great depression, job opportunities are extremely precious, not only for individual members, but also for all members of the entire family. even a high degree is of no use if you lose your job. jobs will become scarce, and it is normal for dozens of people to compete for one position. if you have the ability to take the public examination, take it as soon as possible. being able to enter the system is equivalent to finding a way out for yourself. this is why the public examination has been very popular in the past two years.

when the great recession comes, cash is precious, and the most valuable asset is money itself, because by that time, all assets will depreciate rapidly, so please preserve your cash before the great recession begins and avoid unnecessary consumption, such as buy big houses, cars, antiques, and luxury goods, and stop your children’s expensive cram schools and interest classes. don't invest, don't believe in financial management, it's best not to do business, or only spend a small amount of money for stock trading and financial management. because under the great depression, the economy was in stagnant water, and any investment and financial management behavior was like courting death. and this cash will also be necessary for your assets to reach a new level after the great recession.

if you have extra houses at home, you can sell them on the eve of the great recession, because during the great recession, people's desire to consume will be greatly affected, and all assets will depreciate. except for first- and second-tier cities, house prices in other small cities will definitely fall. cabbage price.

if you are able, pay off your loans and outstanding debts in advance and travel light. because during the great recession, debt was a particularly dangerous behavior. by then, your income would be reduced, and your collateral, that is, your assets, would depreciate in value, but your loan would not be reduced at all. as an analogy here, if you now have a commercial house with a loan of 600,000 yuan (the total value of the house is 1 million), then when the house depreciates to 500,000 yuan during the great recession, the value of your house will no longer be able to secure the loan, and at this time the bank you will be asked to come up with new collateral or repay the loan in advance. but this was difficult to do during the great depression, so if you don’t have the money to repay the loan, you will watch helplessly as the bank auctions your house originally priced at 1 million for less than 500,000. if the auction price if it is lower, for example, if you only sold it for 400,000, then you still owe the bank 200,000, which means you spent hundreds of thousands, and in the end you only rented the house for a period of time. the same is true for the car.

it is best to keep part of the cash at home, because during the great depression, banks will go bankrupt in large areas, making your money disappear. therefore, you should keep part of the cash, gold, etc. at home, and the remaining part of the money can be deposited in the four major banks ( stronger than ordinary banks).

don’t believe it?

then look at the data!

during the great depression in the united states, the average wholesale price fell by 34.1% compared with 1926, and real estate investment fell by 73%... these are all lessons.

after talking about the preparations for assets, let me tell you about the things to pay attention to in life.

first of all, when the great recession really comes, if you live in a city, please put down your dignity and actively collect coupons and discounts. if the government has relief by then, then go get relief. don’t be embarrassed. you have to all i have to do is put down my dignity and fill my stomach.

if you have land in the countryside, you don't have to go back to the countryside, but you must use the land to grow food crops, just in case. although the great depression will not directly lead to a reduction in crop production or famine, the prices of agricultural products will plummet during the great depression, and when prices plummet, farmers will be less motivated to grow crops. this was what happened in the united states at that time. rural farmers were destroying agricultural products like crazy. as a result, the poor in the cities were starving because they had no jobs and no income.

during the great depression, those who had land at home were really happy, which meant they had an extra escape route and no need to go hungry.

now you can spend a little money to buy some shelf-stable canned food. you can buy a lot of it for a few hundred yuan, and it tastes pretty good. you can put it at home to be prepared. maybe it will be used someday, and even if it is not used, you can also eat it slowly without wasting it.

if you want to get through the great recession more smoothly, you can join some special industries now, such as movies, short plays, music creation, and novel creation, because these industries will not shrink under the great recession, but will actually continue to grow. more prosperous.

because during the great recession, everyone was unwilling to be extravagant and wasteful, and would no longer engage in the mid-to-high-end entertainment activities that they had done before. however, entertainment was a necessity, so they would find replacements and naturally turn to low-end entertainment activities. for example, the american film industry flourished during the great depression, when americans watched an average of 28 movies a year. industries such as music records, novels, magazines, etc. also developed greatly during the great depression. nightclubs and bars were booming (many women had to go to sea for money), and alcohol sales also increased greatly (people relied on drinking to escape). reality), because these recreational activities cost very little, if you have the talent in this area, you might as well make it your side job.

in order to solve people's livelihood problems, the government usually carried out economic regulation during the great depression, such as massive infrastructure construction, investing a large amount of money in infrastructure construction, and adding jobs. if you happen to be in this industry, you can get a piece of the pie.

if you survived the great recession and kept cash, good things were coming to you. when the great recession just ends, you can buy assets that have fallen to bargain prices. whether it is houses, cars, antiques, luxury goods, etc., they can all be your goals. at this time, you only need to spend with a small amount of money, one's assets can double what they were before the great depression. some smart ordinary americans took advantage of the great depression to complete class leaps.

the great depression was also the great reshuffle.

of course, the above is for reference only.

history is constantly repeated, but it is not a simple repetition. it cannot be simply copied mechanically. you must understand the logic behind history.

although the "great depression" is in the distant past, scholars have been issuing warnings that the world will face a great depression since a few years ago. looking carefully now, these warnings are really not unfounded. economic crises are really cyclical. the global economic crisis has broken out three times, and many banks have experienced thunderstorms. as for the number of economic crises within a single country or a small region, they are countless.

therefore, it is very necessary to have a deep understanding of the origins, lessons learned, and how the united states got out of the great depression. of course, the most important thing is to understand how americans got out of the great depression.