Gujarat has come a long way and plays an important role in today's. It has a long history about its own struggle.
Historically the present-day state of Gujarat has been one of the main centers of the Indus Valley Civilization. It contains major ancient metropolitan cities from the Indus Valley such as Lothal, Dholavira, and Gola Dhoro. The ancient city of Lothal is the site of the India's first port. Also Dholavira, the ancient city, is one of the largest and most prominent archaeological sites in India, belonging to the Indus Valley Civilization. The most recent discovery was Gola Dhoro. All together about 50 Indus Valley settlement ruins were discovered in Gujarat.
The Dravidian tribes were the original inhabitants of the region. The ancient history of Gujarat was enriched by their commercial activities. There is a clear historical evidence of trade and commerce ties with Sumer in the Persian Gulf during the time period of 1000 to 750 BC.Later Gujarat was settled by the Aryans. Then there was a succession of Hindu kingdoms including the era of the Gupta dynasty and culminating in the reign of the Solankis. The 9th century history of Gujarat saw the emergence of the Muslims in the political arena of the state. The first Muslim conqueror was Mahmud of Ghazna whose conquest of Somnath effectively ended the rule of the Solankis.
Today its one of the most important state of our country to know more.
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Gujjus>>>
21 Facts about Gujarat...
Three Important element of Fitness
If you've ever watched kids on a playground, you've seen the three elements of fitness in action when they:
1. run away from the kid who's "it" (endurance)
2. cross the monkey bars (strength)
3. bend down to tie their shoes (flexibility)
Parents should encourage their kids to do a variety of activities so that they can work on all three elements.
Endurance is developed when kids regularly engage in aerobic activity. During aerobic exercise, the heart beats faster and a person breathes harder. When done regularly and for continuous periods of time, aerobic activity strengthens the heart and improves the body's ability to deliver oxygen to all its cells.
welding defects
Welding Defects
This article will cover some welding defects that are sometimes overlooked or not considered. Each welding project requires careful considerations. They include:
* The process, the type of welding i.e. stick, MIG, TIG.
* The composition of the base metal and thickness.
* The welding position, i. e. flat, vertical, horizontal, overhead.
* The weld joint and type.
* Electrical supply and equipment.
* And finally, the welding techniques to be used.
To minimize the chance of welding defects be sure to consider 1) the travel speed of the pass; 2) the size and type electrode; 3) machine settings; 4) make sure the welding is done in accordance with the plan and the current conditions.
Most of, or a great deal of, welding defects can be identified by the "naked eye." By knowing what is likely to produce welding defects you will learn how to avoid them. Production without defects saves time, materials, repair costs, and a decrease in productivity.
The two following causes for weld rejection should not be but are often overlooked 1) is the weldor proficient with the process being used? 2) is the welding rod supply up to standards? Use only properly stored, dried, and maintained welding rods. (Check out our entire inventory of Welding Rod Ovens.)
Welding defects include poor penetration. It's the failure of the welding rod and base metal to fuse together. It's caused by a root face that is too big; a root opening that is too small; an electrode that's too large; slow travel speed or a machine setting that's too low.
Poor fusion is the failure to blend the layers of weld metal together with the base metal. A lack of fusion is caused by " . . . failure to raise to the melting point of the base metal or the deposited weld metal," (Miller Electric Mfg. Co.) It's caused by improper fluxing; dirty plate surfaces; improper electrode size or type; wrong current settings. Electrodes that do not meet the storing, drying and maintenance specifications also cause it.
Undercutting is another problem that causes welding defects. It burns away the base metal at the toe of the weld. It's caused by a current adjustment that is too high; an arc gap that is too long or failure to fill up the crater completely with weld metal.
Porosity looks "sponge like," or like tiny "bubbles" in the weld. It's caused by gases being released by the cooling weld because a current setting is too high or arc is too long.
Slag inclusion occurs when the slag is not chipped and cleaned properly and then another pass is made over the top. To avoid, 1) prepare the groove and weld properly before each pass; 2) thoroughly clean in between passes; check the machine settings against those suggested by the manufacturer; 3) hold a smaller weld puddle.
What does a welding inspector does?
Welding Quality Control
WELDING SYMBOLS
SS 304-316
BASICS OF WELDING (FOR STUDENTS)
AIR CAR
Pre fabricated house
Alloy steel
What is micro air vehicle?
NICHE MARKET
The word “niche” comes from a French word that means to nest. Niche marketing is targeting a product or service to a small portion of a market that is not being readily served by the mainstream product or service marketers. Nearly every business—fast food chains, convenience stores, even Wal-Mart—was begun to fill perceived voids in the market place. However, niche marketing usually refers to small or moderate size businesses or farms that produce a speciality product or service for a limited segment of the market. Market niches can be geographic areas, a specialty industry, ethnic or age groups, or any other particular group of people. Sometimes a niche product can be a variation of a common product that is not produced and marketed by the main marketing firms.
Niche marketing is marketing a product or service in a small portion of a market that is not being readily served by the main stream product or service markets.
There is often little difference between recognizing a potential business opportunity and recognizing a niche marketing opportunity. Sometimes people find themselves in a niche market without planning it. Perhaps there is a product or service you need but that is difficult to obtain in your area, so you begin providing the service for yourself. You might soon find that others are asking you to provide it for them also. Examples are custom welding and hoof trimming. So, one way to recognize the potent is tial for a niche market is to think about those goods and services you need.
Perhaps others in your community come to you for advice, help or a certain kind of service. Do you seem to be recognized as the expert at something everyone needs? Is this service or product something you could do for a fee?
Niche marketing is marketing a product or service in a small portion of a market that is not being readily served by the main stream product or service markets.
There is often little difference between recognizing a potential business opportunity and recognizing a niche marketing opportunity. Sometimes people find themselves in a niche market without planning it. Perhaps there is a product or service you need but that is difficult to obtain in your area, so you begin providing the service for yourself. You might soon find that others are asking you to provide it for them also. Examples are custom welding and hoof trimming. So, one way to recognize the potent is tial for a niche market is to think about those goods and services you need.
Perhaps others in your community come to you for advice, help or a certain kind of service. Do you seem to be recognized as the expert at something everyone needs? Is this service or product something you could do for a fee?
GUJJUS>>>>>>>>>>>>>>
Gujrati Patels are handling more than 90% of US Motel bussiness. They need not pass TOEFL / IELTS or become Shekespere to be a sucessfull bussiness person.
For your Kind information KANDLA Port of Gujrat has already surpassed Both Mumbai Ports in Shipping load handling!! How is that.
By now Gujarat has 6 airports. Things are moving at a rapid pace.
Gujrat is not closed to Non Gujraties .
Who says Gujrati has to be Gold medalist in MBA or PhD in Rocket Science and only than they can have a Financial HUB.
In meantime No one is stopping Gujrat to be enterprnuer and Industrially advanced.
If education was the criteria than Kerala would have been the most industrially advanced.
21 FACTS ABOUT GUJARAT
TECHINICAL ANALYSIS
B PLAN
NICHE MARKET
Money Markets
Great Depression
Warren Buffett's Money making secrets
Reliance Money
4 P's for employee's
For your Kind information KANDLA Port of Gujrat has already surpassed Both Mumbai Ports in Shipping load handling!! How is that.
By now Gujarat has 6 airports. Things are moving at a rapid pace.
Gujrat is not closed to Non Gujraties .
Who says Gujrati has to be Gold medalist in MBA or PhD in Rocket Science and only than they can have a Financial HUB.
In meantime No one is stopping Gujrat to be enterprnuer and Industrially advanced.
If education was the criteria than Kerala would have been the most industrially advanced.
21 FACTS ABOUT GUJARAT
TECHINICAL ANALYSIS
B PLAN
NICHE MARKET
Money Markets
Great Depression
Warren Buffett's Money making secrets
Reliance Money
4 P's for employee's
5 Healthy Foods
A lot of people spend hours at the gym but then go out and eat all the wrong things. The body is like a machine, if you don't put the right kind of fuel into it, it won't work properly. In physical terms, you're looking at weight gain and bad health, apart from other problems.
The right thing to do is to make sure you eat mostly healthy foods. I'm not saying you can't let go and enjoy yourself once in awhile, but if you stick with health food, you will be lean and look great. It's as simple as that.
Here are 5 healthy foods you need to eat to be thin and look great
1. Pumpkin and pumpkin seeds - Pumpkin seeds are filled with magnesium and pumpkin itself is a high satiety food, meaning that if fills you up with very little calories helping you to avoid overeating. It also contains vitamin A and is high on fiber which is good for the digestive system.
2. Sardines - These fish are a wonderful and healthy food for you to eat. They are full of Omega-3 and calcium and are also rich in other substances like Iron, zinc, and vitamin B. Make sure to avoid eating salted sardines, eat them in their own oil or in olive oil instead.
3. Green teas - Drinking tea can be very healthy. Green teas are rich in antioxidants which can help delay the aging process. Green Tea shouldn't be drunk with sugar as it's fattening. Try some wild honey instead.
4. Sweet potatoes - Loaded with Vitamin C, rich in Fiber and potassium, Sweet potatoes are a healthy food item and one which children and adults like so you can and should make them part of your family's menu.
5. Brown rice - White rice is much less healthy than the natural brown rice which is full of Vitamin E and B-6, copper and zinc, and also fills you up for a long time and so helps reduce hunger
DIET CONTROL:::::
HEALTH ISSUES FOR MEN
DIET COKE
Three important elements of fitness
The right thing to do is to make sure you eat mostly healthy foods. I'm not saying you can't let go and enjoy yourself once in awhile, but if you stick with health food, you will be lean and look great. It's as simple as that.
Here are 5 healthy foods you need to eat to be thin and look great
1. Pumpkin and pumpkin seeds - Pumpkin seeds are filled with magnesium and pumpkin itself is a high satiety food, meaning that if fills you up with very little calories helping you to avoid overeating. It also contains vitamin A and is high on fiber which is good for the digestive system.
2. Sardines - These fish are a wonderful and healthy food for you to eat. They are full of Omega-3 and calcium and are also rich in other substances like Iron, zinc, and vitamin B. Make sure to avoid eating salted sardines, eat them in their own oil or in olive oil instead.
3. Green teas - Drinking tea can be very healthy. Green teas are rich in antioxidants which can help delay the aging process. Green Tea shouldn't be drunk with sugar as it's fattening. Try some wild honey instead.
4. Sweet potatoes - Loaded with Vitamin C, rich in Fiber and potassium, Sweet potatoes are a healthy food item and one which children and adults like so you can and should make them part of your family's menu.
5. Brown rice - White rice is much less healthy than the natural brown rice which is full of Vitamin E and B-6, copper and zinc, and also fills you up for a long time and so helps reduce hunger
DIET CONTROL:::::
HEALTH ISSUES FOR MEN
DIET COKE
Three important elements of fitness
GENERAL ENQUARY
want to be famous meet me
SOME USEFUL WEBSITES:
RAILWAY ENQUIRY ANY AVAILABILITY :INDIAN RAIL
RAILWAY RESERVATION SITE: IRCTC
BUS TICKET: KSRTC
AIR TICKET: CLEARTRIP
History of Gujarat
Gujarat has come a long way and plays an important role in today's. It has a long history about its own struggle.
Historically the present-day state of Gujarat has been one of the main centers of the Indus Valley Civilization. It contains major ancient metropolitan cities from the Indus Valley such as Lothal, Dholavira, and Gola Dhoro. The ancient city of Lothal is the site of the India's first port. Also Dholavira, the ancient city, is one of the largest and most prominent archaeological sites in India, belonging to the Indus Valley Civilization. The most recent discovery was Gola Dhoro. All together about 50 Indus Valley settlement ruins were discovered in Gujarat.
The Dravidian tribes were the original inhabitants of the region. The ancient history of Gujarat was enriched by their commercial activities. There is a clear historical evidence of trade and commerce ties with Sumer in the Persian Gulf during the time period of 1000 to 750 BC.Later Gujarat was settled by the Aryans. Then there was a succession of Hindu kingdoms including the era of the Gupta dynasty and culminating in the reign of the Solankis. The 9th century history of Gujarat saw the emergence of the Muslims in the political arena of the state. The first Muslim conqueror was Mahmud of Ghazna whose conquest of Somnath effectively ended the rule of the Solankis.
CAR WALLPAPER
Reliance money with firefox
4P's for employees
SOME USEFUL WEBSITES:
RAILWAY ENQUIRY ANY AVAILABILITY :INDIAN RAIL
RAILWAY RESERVATION SITE: IRCTC
BUS TICKET: KSRTC
AIR TICKET: CLEARTRIP
History of Gujarat
Gujarat has come a long way and plays an important role in today's. It has a long history about its own struggle.
Historically the present-day state of Gujarat has been one of the main centers of the Indus Valley Civilization. It contains major ancient metropolitan cities from the Indus Valley such as Lothal, Dholavira, and Gola Dhoro. The ancient city of Lothal is the site of the India's first port. Also Dholavira, the ancient city, is one of the largest and most prominent archaeological sites in India, belonging to the Indus Valley Civilization. The most recent discovery was Gola Dhoro. All together about 50 Indus Valley settlement ruins were discovered in Gujarat.
The Dravidian tribes were the original inhabitants of the region. The ancient history of Gujarat was enriched by their commercial activities. There is a clear historical evidence of trade and commerce ties with Sumer in the Persian Gulf during the time period of 1000 to 750 BC.Later Gujarat was settled by the Aryans. Then there was a succession of Hindu kingdoms including the era of the Gupta dynasty and culminating in the reign of the Solankis. The 9th century history of Gujarat saw the emergence of the Muslims in the political arena of the state. The first Muslim conqueror was Mahmud of Ghazna whose conquest of Somnath effectively ended the rule of the Solankis.
CAR WALLPAPER
Reliance money with firefox
4P's for employees
Reliance money with firefox
I too am a Reliance money Account Holder. Reliance Money has got a tie-up with Microsoft for their site. That's why even your Reliance email account is in a Windows Live site. This is absolutely against the freedom of usage that one is entitled to. Especially, Internet Explorer is so low on security as compared to Firefox. Who gave Reliance Money the rights to decide our preferences? I have already complained regarding this to the customer service. I am planning to publicize this matter by writing to financial magazines. I suggest you do the same from your side and to your capacity
what is a Micro Air Vehicle?
The term, Micro Air Vehicle, may be somewhat misleading if interpreted too literally. We tend to think of flying model aircraft as "miniature", so the term "micro" now alludes to a class of significantly smaller vehicles. But MAVs are not small versions of larger aircraft. They are affordable, fully functional, militarily capable, small flight vehicles in a class of their own. The definition employed in DARPA's program limits these craft to a size less than 15 cm (about 6 inches) in length, width or height. This physical size puts this class of vehicle at least an order of magnitude smaller than any missionized UAV developed to date.
MAVs should be thought of as aerial robots, as six-degree-of-freedom machines whose mobility can deploy a useful micro payload to a remote or otherwise hazardous location where it may perform any of a variety of missions, including reconnaissance and surveillance, targeting, tagging and bio-chemical sensing.
Although the 15 cm limitation may appear somewhat arbitrary, it derives from both physics and technology considerations. To fully appreciate the scale implications, we can compare this class of vehicle with other familiar systems, as in Figure 1. This is a plot of vehicle gross weight vs Reynolds number. The Reynolds number (a measure of size multiplied by speed) is perhaps the most useful single parameter for characterizing the flight environment. The smallest current missionized UAV is the "Sender", developed and operated by the Naval Research Laboratory. Sender boasts a 4 foot wing span and weighs only 10 pounds - impressive specifications for its near 100 mile range capability. MAVs are an order of magnitude smaller and may display a wide variety of configurations, depending on specific mission requirements.
The Micro Air Vehicle Flight Regime Compared to Existing Flight Vehicles
The low Reynolds number regime is significant in that it projects a fundamental shift in physical behavior at MAV scales and speeds - an environment more common to the smallest birds and the largest insects. While naturalists have seriously studied bird and insect flight for more than half a century, our basic understanding of the aerodynamics encountered here is very limited. Neither the range - payload performance of bees and wasps nor the agility of the dragonfly is predictable with more familiar high Reynolds number aerodynamics traditionally used in UAV design. And if our understanding of low Reynolds number effects is limited, our ability to mechanize flight under these conditions has been even more elusive.
With the small size of the MAV comes high surface-to-volume ratios and severely constrained weight and volume limitations. The technology challenge to develop and integrate all the physical elements and components necessary to sustain this new dimension in flight will require an unprecedented level of multifunctionality among the system components. The traditional "stuffing the shell" paradigm of conventional aircraft design is not likely to be workable for MAVs.
Yet to be developed, Micro Air Vehicles will be roughly one-tenth the scale of the Sender, and the weight of a six-inch, fixed-wing MAV may be only 50 grams or so, just one one-hundredth the weight of the Sender. Figure 2 illustrates the difference in size. Yet MAVs must be capable of staying aloft for perhaps 20 to 60 minutes while carrying a payload of 20 grams or less to a distance of perhaps 10 km. Finding high density sources of propulsion and power is a pivotal challenge. And while the Sender is a conventional, moderate aspect-ratio, fixed-wing aircraft, MAVs may require more unusual configurations and approaches ranging from low aspect-ratio fixed wings to rotary wings, or even more radical notions like flapping wings.
Size Comparison Between an MAV Concept Vehicle and a Small UAV
MAVs should be thought of as aerial robots, as six-degree-of-freedom machines whose mobility can deploy a useful micro payload to a remote or otherwise hazardous location where it may perform any of a variety of missions, including reconnaissance and surveillance, targeting, tagging and bio-chemical sensing.
Although the 15 cm limitation may appear somewhat arbitrary, it derives from both physics and technology considerations. To fully appreciate the scale implications, we can compare this class of vehicle with other familiar systems, as in Figure 1. This is a plot of vehicle gross weight vs Reynolds number. The Reynolds number (a measure of size multiplied by speed) is perhaps the most useful single parameter for characterizing the flight environment. The smallest current missionized UAV is the "Sender", developed and operated by the Naval Research Laboratory. Sender boasts a 4 foot wing span and weighs only 10 pounds - impressive specifications for its near 100 mile range capability. MAVs are an order of magnitude smaller and may display a wide variety of configurations, depending on specific mission requirements.
The Micro Air Vehicle Flight Regime Compared to Existing Flight Vehicles
The low Reynolds number regime is significant in that it projects a fundamental shift in physical behavior at MAV scales and speeds - an environment more common to the smallest birds and the largest insects. While naturalists have seriously studied bird and insect flight for more than half a century, our basic understanding of the aerodynamics encountered here is very limited. Neither the range - payload performance of bees and wasps nor the agility of the dragonfly is predictable with more familiar high Reynolds number aerodynamics traditionally used in UAV design. And if our understanding of low Reynolds number effects is limited, our ability to mechanize flight under these conditions has been even more elusive.
With the small size of the MAV comes high surface-to-volume ratios and severely constrained weight and volume limitations. The technology challenge to develop and integrate all the physical elements and components necessary to sustain this new dimension in flight will require an unprecedented level of multifunctionality among the system components. The traditional "stuffing the shell" paradigm of conventional aircraft design is not likely to be workable for MAVs.
Yet to be developed, Micro Air Vehicles will be roughly one-tenth the scale of the Sender, and the weight of a six-inch, fixed-wing MAV may be only 50 grams or so, just one one-hundredth the weight of the Sender. Figure 2 illustrates the difference in size. Yet MAVs must be capable of staying aloft for perhaps 20 to 60 minutes while carrying a payload of 20 grams or less to a distance of perhaps 10 km. Finding high density sources of propulsion and power is a pivotal challenge. And while the Sender is a conventional, moderate aspect-ratio, fixed-wing aircraft, MAVs may require more unusual configurations and approaches ranging from low aspect-ratio fixed wings to rotary wings, or even more radical notions like flapping wings.
Size Comparison Between an MAV Concept Vehicle and a Small UAV
What are Alloy Steels?
Welding-alloy-steel needs first an answer to the above question. Alloy Steels are materials of special compositions, developed to permit the deployment of elevated mechanical properties that make them the most suitable selection for important applications like bridges, high rise towers and lifting equipment. By utilizing the most out of improved strength, hardness, ductility and impact resistance through innovative design, it is possible to build lighter structures with considerable economical gains.
Welding-alloy-steel, Heat Treatable, Quenched and Tempered Alloy Steels is a challenging proposition that needs understanding and preparation. These steels have 0.25 to 0.5%C, that is medium carbon content, and typically up to 5% total alloy content.
Welding-alloy-steel, Heat Treatable, Quenched and Tempered Alloy Steels is a challenging proposition that needs understanding and preparation. These steels have 0.25 to 0.5%C, that is medium carbon content, and typically up to 5% total alloy content.
WELDING QUALITY CONTROL
In the fabrication or repair of equipment, tests are used to determine the quality and soundness of the welds. Many different tests have been designed for specific faults. The type of test used depends upon the requirements of the welds and the availability of testing equipment. In this section, nondestructive and destruc- tive testing are briefly discussed.
NON-DESTRUCTIVE TESTING
Non-destructive testing is a method of testing that does not destroy or impair the usefulness of a welded item. These tests disclose all of the common internal and surface defects that can occur when improper welding procedures are used. A large choice of testing devices is available and most of them are easier to use than the destructive methods, especially when working on large and expensive items. Visual Inspection Visual inspection is usually done automatically by the welder as he completes his welds. This is strictly a subjective type of inspection and usually there are no definite or rigid limits of acceptability. The welder may use templates for weld bead contour checks. Visual inspections are basically a comparison of finished welds with an accepted standard. This test is effective only when the visual qualities of a weld are the most important.
WHAT A WELDING INSPECTOR DOES?
A certified welding inspector mainly engages in ensuring the quality and safety of welded work in various structures. Perhaps one of the important tests conducted by a welding inspector includes ultrasonic non-destructive testing, where a check is performed on the safety of welds in structures and for any defects and cracks that can jeopardize the safety of the structure.
In order to conduct some of the necessary welding tests, such as checking for cracks and testing welding strength, an inspector may need to use flashlights and magnifying glasses. These are also utilized to determine whether a welding joint has any cold welds or undercuts.
Though welding jobs may easily ruin one’s vision, especially if the welder is not careful when using a hot rod near a metal object, it is very important for welding inspectors to have impeccable vision. Some employers even require annual vision checks.
Often times, a welding inspector may be working on sky-rises and other structures that are high off the ground, which means that an inspector shouldn't have a fear of heights. A welding inspector has a clear understanding of welding techniques, and aside from inspecting, must be able to weld and test metal samples for appropriate welding techniques and processes.
An inspector has to frequently take notes and record what he observes on the field, which is why it is necessary that he or she have clear communication skills. Proper communication is all the more important given the safety and seriousness of the issues a welding inspector is responsible for.
Above all, a welding inspector should have certification to perform inspections in a specific field. Not only does this help ensure that the welder is current on proper procedures and rules, but it is something most, if not all, employers require. In order to receive certification in the US, one does not have to have a high school diploma. Typically, welding experience counts as the most important skill when getting certified for an inspection job. Depending on the certification he receives, a welding inspector may work in several different areas.
One of the organizations that offers certification in the United States is the American Welding Society, which certifies welders to perform inspections on structures, such as buildings and dams. The American Petroleum Institute offers certification for the welding and inspection of petroleum vessels, while the American Society of Mechanical Engineers certifies welders for inspecting pressure vessels, such as steam drums. Each organization has its own codes the inspector has to abide by, which are called the Welding Procedure Specifications (WPS).
In order to conduct some of the necessary welding tests, such as checking for cracks and testing welding strength, an inspector may need to use flashlights and magnifying glasses. These are also utilized to determine whether a welding joint has any cold welds or undercuts.
Though welding jobs may easily ruin one’s vision, especially if the welder is not careful when using a hot rod near a metal object, it is very important for welding inspectors to have impeccable vision. Some employers even require annual vision checks.
Often times, a welding inspector may be working on sky-rises and other structures that are high off the ground, which means that an inspector shouldn't have a fear of heights. A welding inspector has a clear understanding of welding techniques, and aside from inspecting, must be able to weld and test metal samples for appropriate welding techniques and processes.
An inspector has to frequently take notes and record what he observes on the field, which is why it is necessary that he or she have clear communication skills. Proper communication is all the more important given the safety and seriousness of the issues a welding inspector is responsible for.
Above all, a welding inspector should have certification to perform inspections in a specific field. Not only does this help ensure that the welder is current on proper procedures and rules, but it is something most, if not all, employers require. In order to receive certification in the US, one does not have to have a high school diploma. Typically, welding experience counts as the most important skill when getting certified for an inspection job. Depending on the certification he receives, a welding inspector may work in several different areas.
One of the organizations that offers certification in the United States is the American Welding Society, which certifies welders to perform inspections on structures, such as buildings and dams. The American Petroleum Institute offers certification for the welding and inspection of petroleum vessels, while the American Society of Mechanical Engineers certifies welders for inspecting pressure vessels, such as steam drums. Each organization has its own codes the inspector has to abide by, which are called the Welding Procedure Specifications (WPS).
Moodle is not for free.............
Moodle has gained many users over the last few years as universities, colleges, departments and institutions look at trimming their budgets. Clearly many schools simply are saying NO to the high fees charged by Blackboard or other traditional learning management systems.
Moodle is a highly capable product and is available as open source software, therefore it’s worthy of consideration for an institution looking to move away from the high annual subscription fees and other hidden costs. Clearly someone a bit technical can quickly build a moodle site for a small group or classroom.
However, in truth Moodle is not free. In point of fact, getting Moodle to become operational for a university or college implementation can become pretty expensive.
Let’s take a moment to break it down and compare it to a subscription to TOPYX®, our recently launched fully hosted learning distribution service that blends the features of a traditional LMS with embedded social networking services and community tools.
All of our assumptions are admittedly highly variable, but we have tried to be as conservative and fair as possible.
Moodle fees and costs:
Initial install and setup: First off, someone needs to download, install, and support Moodle, on an ongoing basis. Depending on the size of your organization, this could easily be full time dedicated resource in your IT department. Naturally this varies, school to school, but in order to be conservative and fair let`s assume it can be as little as a part time (50%) role for an IT professional at an average salary of US$70,000 annually.
Site branding: Do you want your Moodle site branded to your school? It may not be a huge job, but it’s probably about US$1,000 to do a reasonable job.
Customization: Next, would you like to customize how Moodle is used in your school? Again, it`s difficult to generalize, but let`s assume this will be approximately a three month project for a similar IT professional.
Content: Next, you will have to move your content from it`s your current source over to Moodle. This will be true with whatever product you choose, however, with Moodle, you are on your own unless you contract with a Moodle service provider. As this will be required whether you use Moodle or TOPYX, and the effort will generally be the same. I’ll omit it from the comparison.
Hosting: How will you be hosting Moodle?
At a high level you have two choices: Your own hardware and software, or a hosting provider.
Naturally volume will determine the hardware requirements, but at a minimum for proper execution you will want a database server and an application server. Minimum cost for these will be about US$4K each and they’ll probably need updating every three to four years. Large installations will require much larger servers.
If you choose a hosting provider, fees run from $25 per month to about $600 per month. For the simplest comparison, I’ll simply use the hosting fees of US$3.5K annually and not include outlays for dedicated hardware, even though it may be used.
Training: I am seeing many courses available for Moodle implementation and usage from a variety of sources. Moodle Programming, SQL with Moodle, Moodle implementation, etc. The list is quite extensive. Usually for "Train the trainer" and "Implementation Assistance" courses a school should very conservatively consider about US$10K in the first year.
Additional Software: As for software, you’ll also require versions of SQL. Yes, you can get them free; however, you’ll also require additional technical staff. Let’s use two weeks annual IT time to build out a conservative estimate, therefore about US$3K.
Overall Site Upgrades: Naturally, you will want to be adding functionality to your Moodle site above and beyond the initial basic setup. New features will be requested, new interfaces required and testing to be done and so one. Clearly the modifications are highly variable, however from our own experience we would expect this to be somewhere in the range of ½ of the combined Initial Setup and First Year Customization effort on an ongoing basis.
Authentication: Will you and your IT team be trying to enable single sign-on through your school authentication system. This will be more time and money. Let’s use 1-2 week’s IT time to be fair, or about US$2.0K.
Communities and social networking components:
Some tools, such as forums are included with Moodle. Many are not however. If you wish to integrate social networking sites, such as Twitter, Facebook or LinkedIn you are clearly blazing new trails. This will require endless hours of coding and testing. We know, because we’ve done it! Because we don’t know if you’ll want it or need it, so to be absolutely fair, I won’t add additional cost for this with Moodle. However, if you are thinking about it, be prepared for a three to four additional person months of effort and cost at a minimum, probably around US$20k. With TOPYX it’s included and part of the platform.
Now let’s add up the tab. How much does FREE cost (US$000s)?
Moodle First Year Costs
Moodle license: 0
Install and initial set up: 35
Site Branding: 1
Customization: 17.5
Hosting: 3.5
Authentication: 2
Database: 3
Training: 10
Moodle First year Total: US$72K
Moodle costs thereafter:
Customization and Maintenance: 27.5
Hosting: 3.5
Moodle Ongoing total: US$31K
Moodle is a highly capable product and is available as open source software, therefore it’s worthy of consideration for an institution looking to move away from the high annual subscription fees and other hidden costs. Clearly someone a bit technical can quickly build a moodle site for a small group or classroom.
However, in truth Moodle is not free. In point of fact, getting Moodle to become operational for a university or college implementation can become pretty expensive.
Let’s take a moment to break it down and compare it to a subscription to TOPYX®, our recently launched fully hosted learning distribution service that blends the features of a traditional LMS with embedded social networking services and community tools.
All of our assumptions are admittedly highly variable, but we have tried to be as conservative and fair as possible.
Moodle fees and costs:
Initial install and setup: First off, someone needs to download, install, and support Moodle, on an ongoing basis. Depending on the size of your organization, this could easily be full time dedicated resource in your IT department. Naturally this varies, school to school, but in order to be conservative and fair let`s assume it can be as little as a part time (50%) role for an IT professional at an average salary of US$70,000 annually.
Site branding: Do you want your Moodle site branded to your school? It may not be a huge job, but it’s probably about US$1,000 to do a reasonable job.
Customization: Next, would you like to customize how Moodle is used in your school? Again, it`s difficult to generalize, but let`s assume this will be approximately a three month project for a similar IT professional.
Content: Next, you will have to move your content from it`s your current source over to Moodle. This will be true with whatever product you choose, however, with Moodle, you are on your own unless you contract with a Moodle service provider. As this will be required whether you use Moodle or TOPYX, and the effort will generally be the same. I’ll omit it from the comparison.
Hosting: How will you be hosting Moodle?
At a high level you have two choices: Your own hardware and software, or a hosting provider.
Naturally volume will determine the hardware requirements, but at a minimum for proper execution you will want a database server and an application server. Minimum cost for these will be about US$4K each and they’ll probably need updating every three to four years. Large installations will require much larger servers.
If you choose a hosting provider, fees run from $25 per month to about $600 per month. For the simplest comparison, I’ll simply use the hosting fees of US$3.5K annually and not include outlays for dedicated hardware, even though it may be used.
Training: I am seeing many courses available for Moodle implementation and usage from a variety of sources. Moodle Programming, SQL with Moodle, Moodle implementation, etc. The list is quite extensive. Usually for "Train the trainer" and "Implementation Assistance" courses a school should very conservatively consider about US$10K in the first year.
Additional Software: As for software, you’ll also require versions of SQL. Yes, you can get them free; however, you’ll also require additional technical staff. Let’s use two weeks annual IT time to build out a conservative estimate, therefore about US$3K.
Overall Site Upgrades: Naturally, you will want to be adding functionality to your Moodle site above and beyond the initial basic setup. New features will be requested, new interfaces required and testing to be done and so one. Clearly the modifications are highly variable, however from our own experience we would expect this to be somewhere in the range of ½ of the combined Initial Setup and First Year Customization effort on an ongoing basis.
Authentication: Will you and your IT team be trying to enable single sign-on through your school authentication system. This will be more time and money. Let’s use 1-2 week’s IT time to be fair, or about US$2.0K.
Communities and social networking components:
Some tools, such as forums are included with Moodle. Many are not however. If you wish to integrate social networking sites, such as Twitter, Facebook or LinkedIn you are clearly blazing new trails. This will require endless hours of coding and testing. We know, because we’ve done it! Because we don’t know if you’ll want it or need it, so to be absolutely fair, I won’t add additional cost for this with Moodle. However, if you are thinking about it, be prepared for a three to four additional person months of effort and cost at a minimum, probably around US$20k. With TOPYX it’s included and part of the platform.
Now let’s add up the tab. How much does FREE cost (US$000s)?
Moodle First Year Costs
Moodle license: 0
Install and initial set up: 35
Site Branding: 1
Customization: 17.5
Hosting: 3.5
Authentication: 2
Database: 3
Training: 10
Moodle First year Total: US$72K
Moodle costs thereafter:
Customization and Maintenance: 27.5
Hosting: 3.5
Moodle Ongoing total: US$31K
SS 304-316
Stainless steel alloys usually have a chromium content of a least 10%. Stainless steel base metals are grouped primarily into three classes depending on their crystal structure; austenitic (such as 302, 304, 308, 316, etc.). Austenitic grades are also available with a lowered carbon content (designated with an "L", such as 304L or 316L.)
Below is a basic step by step guide to follow when welding Stainless Steel:
#1. Safety First
Warning: Protect yourself & others. Read & understand this information.
Fumes & Gases can be hazardous to your health.
Electric Shock can kill.
* Before use, read & understand the manufacturer's instructions, Material Safety Data Sheets (MSDS) & your employer's safety practices.
* Keep your head out of the fumes.
* Use enough ventilation; exhaust at the arc, or both, to keep fumes & gases from your breathing zone & the general area.
* Wear correct eye, ear, & body protection.
* Do not touch live electrical parts.
* See American National Standard Z49.1, Safety in Welding, Cutting, & Allied Processes, published by the American Welding Society, 550 N.W. LeJeune Road, Miami, FL 33126; OSHA Safety & Health Standards, available from the U.S. Government Printing Office, Washington, DC 20402
#2. Select Joint Design & Fit up
Start by determining the best manner in which to join your base metals. Correct joint design & fit up are critical steps to insuring a strong bond upon weld completion. Be sure to consider strength required, welding position, metal thickness & joint accessibility.
The five basic types of joints are butt, corner, edge, lap & t. These five joints can be arranged in many combinations to create a large variety of welds. Fixtures & jigs are helpful in securing the work pieces in place during the joining procedure. Sheet metal & most fillet & lap joints should be clamped tightly over the entire length of the work.
#3. Choose The Welding Process
The three most common stainless welding processes are:
* SMAW - Shielded Metal Arc Welding or Stick Electrode
SMAW is an electric arc welding process in which heat for welding is generated by an electric arc between a covered metal electrode & the base metal. The electrode coating provides shielding. The welding equipment for this process is currently the most inexpensive of the methods described here. However, electrodes do create some inefficiency, such as stub loss & a slag coating, which must be removed.
* GTAW - Gas Tungsten Arc Welding-Tig Welding
Tig Welding is easily performed on a variety of metals. It generally requires little or no post weld finishing. It is an electric welding process in which heat for welding is generated by an electric arc between the end of a non-consumable tungsten electrode & the base metal. Filler metal may be added, if necessary. An inert shielding gas supplies shielding for the arc. (Inert gas creates a protective atmosphere around the welding in process).
* FCAW - Flux Cored Arc Welding-Mig Welding
Flux is contained within the electrode. It provides shielding, deoxidization & arc stabilization. Additional shielding may be added. A smoke suction nozzle around the gun or fume hood aids in reduction of smoke & fumes. Aufhauser flux cored stainless steel wire is formulated to provide all position welding & smooth, stable arc action.
* GMAW - Gas Metal Arc Welding-Mig Welding
Gas metal arc welding is quick & easy on thin-gauge metal as well as heavy plate. It generally calls for little post weld cleanup. GMAW is an electric arc welding process where heat is produced by an arc between a continuously fed filler metal electrode & the base metal. Shielding is obtained from an externally supplied gas or gas mixture. The two most common types of GMAW are:
Short Circuit Transfer - The arc is broken or short circuited with each drop of metal & restarted. It is used on smaller, thinner gauges & produces a shallow weld.
Spray Transfer - Metal is transferred across the arc creating a continuous spray of fine droplets of metal. These droplets are projected down to the base metal.
#4. Determine appropriate inert Shielding Gas
SMAW - none required
GTAW - Argon is suggested for thicknesses up to approximately 1/2". For thicker sections, argon-helium mixtures or pure helium may be used. Pure helium may also be employed for deeper penetration. The most common tungsten utilized is 2% thoriated.
FCAW - 100% CO2 or Argon/CO2 The voltage may be somewhat lower if argon with 20 to 25 percent CO2 mixtures is selected. Generally, a gas flow rate of 40 cfh is suggested. Adjustments can be made, depending upon the specifics of the application.
GMAW - Spray Transfer Ð Use Argon & 1% to 2% - Oxygen 99% argon, 1% oxygen is predominantly used - 98% argon, 2% oxygen when welding thinner material.
Short Circuiting Transfer - 90% helium, 7.5% argon, 2.5% CO2
#5. Select The Applicable Filler Metal
For applications where both pieces are the same alloy, select filler metal with a composition similar to that of the base metals. This will ensure the weld has similar properties. Dissimilar base metal applications require selection based on mechanical properties, freedom from cracking, and compatibility.
#6. Set The Parameters
SMAW - uses a direct current (DC) or an alternating current (AC).
DC uses either straight polarity, which is electrode negative or reverse polarity, which is electrode positive. Direct current flows in one direction continuously through the welding circuit. There are several advantages of DC. It works well at low current settings & with small diameters. In addition, igniting the arc & maintaining a short arc is easier.
Stainless electrodes designated Ð15, (ex: 308-15) use direct current, reverse polarity. Their key characteristic is fast freezing slag, which make them suitable for out of position welding. Bead appearance is convex.
AC uses a combination of both straight & reverse polarities, which alternate in regular cycles.
The advantages of this current include: less chance of arc blow, which is an unbalance of the magnetic field around the arc causing a bend in the arc. It also works well on thick metal with a large diameter electrode.
Stainless electrodes designated Ð16 (ex. 308-16) use AC or DC. They produce a smooth weld bead, with a flat to slightly convex bead appearance.
AMPS - The most common settings are:
Diameter 1/16 x 12" 5/64 x 12" 3/32 x 12" 1/8 x 14" 5/32 x 14" 3/16 x 14" 1/4 x 14"
Amps: 15 – 40 30 – 60 50 – 80 70 – 110 100 – 140 130 – 180 175 – 220
GTAW - For gas tungsten arc welding use DC current with straight polarity (electrode negative). The parameters for Tig welding are dependent upon plate thickness & welding position.
FCAW - Flux cored stainless steel welding wire generally uses direct current, reverse polarity (electrode positive). This current type provides better base metal penetration. Flux cored welding requires a longer wire extension or "stick out." Stick out is the distance between the end of the wire and the end of the contact tip. Stick out for stainless steel flux cored wire is typically 5/8" to 3/4".
#7. Clean The Base Metal
Cleaning should be done just prior to welding to prevent the formation of oxides. The base metal surface must be free of grease, oil, paint, dirt, etc. A clean surface will provide a smoother, stronger joint. Brush the plate surface & edges with a stainless steel wire brush to remove burrs & oxides. Gloves should be worn to prevent hand oil or dirt from getting on the joining surface.
#8. Preheat If Applicable
Preheat is not required for most 300 austenitic grade stainless steels. The base metal should be brought to room temperature, 60 to 75 degrees. Preheat is necessary when welding ferritic or martensitic grades. It is also needed when joining metals that are thick or contain a high percentage of carbon.
#9. Welding Technique
A good welding technique is developed as a welder gains experience. The following are basic welding tips:
* Use fixtures &/or jigs to help keep work in place.
* Butting edges should be squared. A square butt joint is prevalently used for stainless sheets 18 gauge or thinner. Heavier gauge sheets & plates may require an edge bevel to assure full penetration.
* Insure adequate shielding by centering the filler metal in the gas & weld puddle area.
* Filler metal should be dipped into the weld puddle, but should not drip into it.
* Move the torch/gun along the joint at a steady, constant speed to maintain uniformity.
* Hold the torch/gun over the weld until gas stops, to keep work protected.
#10. Cooling/Post Weld Cleaning
Postheat may be required to relieve internal stresses caused by the concentration of heat in the weld area. Postheating aids in slow down of the cooling process to minimize cracking. This is a good procedure to use when joining thick metals. Shielded metal arc and flux cored welding leaves a slag residue on the weld. Remove slag with a chipping hammer or by grinding.
#11. Troubleshooting
Look in our Technical Support Index for troubleshooting.
#12. Aufhauser Stainless Steel Filler Metals
Aufhauser manufactures a complete line of filler metals for stainless steel welding.
Below is a basic step by step guide to follow when welding Stainless Steel:
#1. Safety First
Warning: Protect yourself & others. Read & understand this information.
Fumes & Gases can be hazardous to your health.
Electric Shock can kill.
* Before use, read & understand the manufacturer's instructions, Material Safety Data Sheets (MSDS) & your employer's safety practices.
* Keep your head out of the fumes.
* Use enough ventilation; exhaust at the arc, or both, to keep fumes & gases from your breathing zone & the general area.
* Wear correct eye, ear, & body protection.
* Do not touch live electrical parts.
* See American National Standard Z49.1, Safety in Welding, Cutting, & Allied Processes, published by the American Welding Society, 550 N.W. LeJeune Road, Miami, FL 33126; OSHA Safety & Health Standards, available from the U.S. Government Printing Office, Washington, DC 20402
#2. Select Joint Design & Fit up
Start by determining the best manner in which to join your base metals. Correct joint design & fit up are critical steps to insuring a strong bond upon weld completion. Be sure to consider strength required, welding position, metal thickness & joint accessibility.
The five basic types of joints are butt, corner, edge, lap & t. These five joints can be arranged in many combinations to create a large variety of welds. Fixtures & jigs are helpful in securing the work pieces in place during the joining procedure. Sheet metal & most fillet & lap joints should be clamped tightly over the entire length of the work.
#3. Choose The Welding Process
The three most common stainless welding processes are:
* SMAW - Shielded Metal Arc Welding or Stick Electrode
SMAW is an electric arc welding process in which heat for welding is generated by an electric arc between a covered metal electrode & the base metal. The electrode coating provides shielding. The welding equipment for this process is currently the most inexpensive of the methods described here. However, electrodes do create some inefficiency, such as stub loss & a slag coating, which must be removed.
* GTAW - Gas Tungsten Arc Welding-Tig Welding
Tig Welding is easily performed on a variety of metals. It generally requires little or no post weld finishing. It is an electric welding process in which heat for welding is generated by an electric arc between the end of a non-consumable tungsten electrode & the base metal. Filler metal may be added, if necessary. An inert shielding gas supplies shielding for the arc. (Inert gas creates a protective atmosphere around the welding in process).
* FCAW - Flux Cored Arc Welding-Mig Welding
Flux is contained within the electrode. It provides shielding, deoxidization & arc stabilization. Additional shielding may be added. A smoke suction nozzle around the gun or fume hood aids in reduction of smoke & fumes. Aufhauser flux cored stainless steel wire is formulated to provide all position welding & smooth, stable arc action.
* GMAW - Gas Metal Arc Welding-Mig Welding
Gas metal arc welding is quick & easy on thin-gauge metal as well as heavy plate. It generally calls for little post weld cleanup. GMAW is an electric arc welding process where heat is produced by an arc between a continuously fed filler metal electrode & the base metal. Shielding is obtained from an externally supplied gas or gas mixture. The two most common types of GMAW are:
Short Circuit Transfer - The arc is broken or short circuited with each drop of metal & restarted. It is used on smaller, thinner gauges & produces a shallow weld.
Spray Transfer - Metal is transferred across the arc creating a continuous spray of fine droplets of metal. These droplets are projected down to the base metal.
#4. Determine appropriate inert Shielding Gas
SMAW - none required
GTAW - Argon is suggested for thicknesses up to approximately 1/2". For thicker sections, argon-helium mixtures or pure helium may be used. Pure helium may also be employed for deeper penetration. The most common tungsten utilized is 2% thoriated.
FCAW - 100% CO2 or Argon/CO2 The voltage may be somewhat lower if argon with 20 to 25 percent CO2 mixtures is selected. Generally, a gas flow rate of 40 cfh is suggested. Adjustments can be made, depending upon the specifics of the application.
GMAW - Spray Transfer Ð Use Argon & 1% to 2% - Oxygen 99% argon, 1% oxygen is predominantly used - 98% argon, 2% oxygen when welding thinner material.
Short Circuiting Transfer - 90% helium, 7.5% argon, 2.5% CO2
#5. Select The Applicable Filler Metal
For applications where both pieces are the same alloy, select filler metal with a composition similar to that of the base metals. This will ensure the weld has similar properties. Dissimilar base metal applications require selection based on mechanical properties, freedom from cracking, and compatibility.
#6. Set The Parameters
SMAW - uses a direct current (DC) or an alternating current (AC).
DC uses either straight polarity, which is electrode negative or reverse polarity, which is electrode positive. Direct current flows in one direction continuously through the welding circuit. There are several advantages of DC. It works well at low current settings & with small diameters. In addition, igniting the arc & maintaining a short arc is easier.
Stainless electrodes designated Ð15, (ex: 308-15) use direct current, reverse polarity. Their key characteristic is fast freezing slag, which make them suitable for out of position welding. Bead appearance is convex.
AC uses a combination of both straight & reverse polarities, which alternate in regular cycles.
The advantages of this current include: less chance of arc blow, which is an unbalance of the magnetic field around the arc causing a bend in the arc. It also works well on thick metal with a large diameter electrode.
Stainless electrodes designated Ð16 (ex. 308-16) use AC or DC. They produce a smooth weld bead, with a flat to slightly convex bead appearance.
AMPS - The most common settings are:
Diameter 1/16 x 12" 5/64 x 12" 3/32 x 12" 1/8 x 14" 5/32 x 14" 3/16 x 14" 1/4 x 14"
Amps: 15 – 40 30 – 60 50 – 80 70 – 110 100 – 140 130 – 180 175 – 220
GTAW - For gas tungsten arc welding use DC current with straight polarity (electrode negative). The parameters for Tig welding are dependent upon plate thickness & welding position.
FCAW - Flux cored stainless steel welding wire generally uses direct current, reverse polarity (electrode positive). This current type provides better base metal penetration. Flux cored welding requires a longer wire extension or "stick out." Stick out is the distance between the end of the wire and the end of the contact tip. Stick out for stainless steel flux cored wire is typically 5/8" to 3/4".
#7. Clean The Base Metal
Cleaning should be done just prior to welding to prevent the formation of oxides. The base metal surface must be free of grease, oil, paint, dirt, etc. A clean surface will provide a smoother, stronger joint. Brush the plate surface & edges with a stainless steel wire brush to remove burrs & oxides. Gloves should be worn to prevent hand oil or dirt from getting on the joining surface.
#8. Preheat If Applicable
Preheat is not required for most 300 austenitic grade stainless steels. The base metal should be brought to room temperature, 60 to 75 degrees. Preheat is necessary when welding ferritic or martensitic grades. It is also needed when joining metals that are thick or contain a high percentage of carbon.
#9. Welding Technique
A good welding technique is developed as a welder gains experience. The following are basic welding tips:
* Use fixtures &/or jigs to help keep work in place.
* Butting edges should be squared. A square butt joint is prevalently used for stainless sheets 18 gauge or thinner. Heavier gauge sheets & plates may require an edge bevel to assure full penetration.
* Insure adequate shielding by centering the filler metal in the gas & weld puddle area.
* Filler metal should be dipped into the weld puddle, but should not drip into it.
* Move the torch/gun along the joint at a steady, constant speed to maintain uniformity.
* Hold the torch/gun over the weld until gas stops, to keep work protected.
#10. Cooling/Post Weld Cleaning
Postheat may be required to relieve internal stresses caused by the concentration of heat in the weld area. Postheating aids in slow down of the cooling process to minimize cracking. This is a good procedure to use when joining thick metals. Shielded metal arc and flux cored welding leaves a slag residue on the weld. Remove slag with a chipping hammer or by grinding.
#11. Troubleshooting
Look in our Technical Support Index for troubleshooting.
#12. Aufhauser Stainless Steel Filler Metals
Aufhauser manufactures a complete line of filler metals for stainless steel welding.
THIS IS THE BLOG FOR YOU AND YOUR CHOICE.
Gujrati Patels are handling more than 90% of US Motel bussiness. They need not pass TOEFL / IELTS or become Shekespere to be a sucessfull bussiness person.
For your Kind information KANDLA Port of Gujrat has already surpassed Both Mumbai Ports in Shipping load handling!! How is that.
By now Gujarat has 6 airports. Things are moving at a rapid pace.
Gujrat is not closed to Non Gujraties .
Who says Gujrati has to be Gold medalist in MBA or PhD in Rocket Science and only than they can have a Financial HUB.
In meantime No one is stopping Gujrat to be enterprnuer and Industrially advanced.
If education was the criteria than Kerala would have been the most industrially advanced
Gujrati Patels are handling more than 90% of US Motel bussiness. They need not pass TOEFL / IELTS or become Shekespere to be a sucessfull bussiness person.
For your Kind information KANDLA Port of Gujrat has already surpassed Both Mumbai Ports in Shipping load handling!! How is that.
By now Gujarat has 6 airports. Things are moving at a rapid pace.
Gujrat is not closed to Non Gujraties .
Who says Gujrati has to be Gold medalist in MBA or PhD in Rocket Science and only than they can have a Financial HUB.
In meantime No one is stopping Gujrat to be enterprnuer and Industrially advanced.
If education was the criteria than Kerala would have been the most industrially advanced
Freedom ...........
Every generation has its philosopher—a writer or an artist who captures the imagination of a time. Sometimes these philosophers are recognized as such;often it takes generations before the connection is made real. But recognized or not,a time gets marked by the people who speak its ideals, whether in the whisper of a poem, or the blast of a political movement.
Our generation has a philosopher. He is not an artist, or a professional writer.
He is a programmer. Richard Stallman began his work in the labs of MIT, as a programmer and architect building operating system software.He has built his career on a stage of public life, as a programmer and an architect founding a movement for freedom in a world increasingly defined by “code.”
“Code” is the technology that makes computers run. Whether inscribed in software or burned in hardware, it is the collection of instructions, first written in words, that directs the functionality of machines. These machines—computers—increasingly define and control our life. They decide whether video can be streamed across a broadband link to a computer. They control what a computer reports back to its manufacturer. These machines run us. Code runs these machines.What control should we have over this code? What understanding? What freedom should there be to match the control it enables? What power?These questions have been the challenge of Stallman’s life. Through his works and his words, he has pushed us to see the importance of keeping code “free.” Not free in the sense that code writers don’t get paid, but free in the sense that the control coders build be transparent to all, and that anyone have the right to take that control, and modify it as he or she sees fit. This is “free software”; “free software” is one answer to a world built in code.
REDUCING COST OF TECHNOLOGY
MOODLE
Reliance Money
Our generation has a philosopher. He is not an artist, or a professional writer.
He is a programmer. Richard Stallman began his work in the labs of MIT, as a programmer and architect building operating system software.He has built his career on a stage of public life, as a programmer and an architect founding a movement for freedom in a world increasingly defined by “code.”
“Code” is the technology that makes computers run. Whether inscribed in software or burned in hardware, it is the collection of instructions, first written in words, that directs the functionality of machines. These machines—computers—increasingly define and control our life. They decide whether video can be streamed across a broadband link to a computer. They control what a computer reports back to its manufacturer. These machines run us. Code runs these machines.What control should we have over this code? What understanding? What freedom should there be to match the control it enables? What power?These questions have been the challenge of Stallman’s life. Through his works and his words, he has pushed us to see the importance of keeping code “free.” Not free in the sense that code writers don’t get paid, but free in the sense that the control coders build be transparent to all, and that anyone have the right to take that control, and modify it as he or she sees fit. This is “free software”; “free software” is one answer to a world built in code.
REDUCING COST OF TECHNOLOGY
MOODLE
Reliance Money
Warren Buffett's money-making secrets
With an estimated fortune of $62 billion, Warren Buffett is the richest man in the entire world. In 1962, when he began buying stock in Berkshire Hathaway, a share cost $7.50. Today, Warren Buffett, 78, is Berkshire's chairman and CEO, and one share of the company's class A stock worth close to $119,000. Here are some of Warren Buffett's money-making secrets -- and how they could work for you.
1. Reinvest Your Profits: When you first make money, you may be tempted to spend it. Don't. Instead, reinvest the profits. Warren Buffett learned this early on. In high school, he and a pal bought a pinball machine to pun in a barbershop. With the money they earned, they bought more machines until they had eight in different shops. When the friends sold the venture, Warren Buffett used the proceeds to buy stocks and to start another small business.
2. Be Willing To Be Different: Don't base your decisions upon what everyone is saying or doing. When Warren Buffett began managing money in 1956 with $100,000 cobbled together from a handful of investors, he was dubbed an oddball. He worked in Omaha, not Wall Street, and he refused to tell his parents where he was putting their money. People predicted that he'd fail, but when he closed his partnership 14 years later, it was worth more than $100 million.
3. Never Suck Your Thumb: Gather in advance any information you need to make a decision, and ask a friend or relative to make sure that you stick to a deadline. Warren Buffett prides himself on swiftly making up his mind and acting on it.
4. Spell Out The Deal Before You Start: Your bargaining leverage is always greatest before you begin a job -- that's when you have something to offer that the other party wants. Warren Buffett learned this lesson the hard way as a kid, when his grandfather Ernest hired him and a friend to dig out the family grocery store after a blizzard. The boys spent five hours shoveling until they could barely straighten their frozen hands.
5. Watch Small Expenses: Warren Buffett invests in businesses run by managers who obsess over the tiniest costs. He one acquired a company whose owner counted the sheets in rolls of 500-sheet toilet paper to see if he was being cheated (he was). He also admired a friend who painted only on the side of his office building that faced the road. Exercising vigilance over every expense can make your profits -- and your paycheck -- go much further.
6. Limit What You Borrow: Living on credit cards and loans won't make you rich. Warren Buffett has never borrowed a significant amount -- not to invest, not for a mortgage.
7. Be Persistent: With tenacity and ingenuity, you can win against a more established competitor. Warren Buffett acquired the Nebraska Furniture Mart in 1983 because he liked the way its founder, Rose Blumkin, did business.
8. Know When To Quit: Once, when Warren Buffett was a teen, he went to the racetrack. He bet on a race and lost. To recoup his funds, he bet on another race.
9. Assess The Risk: In 1995, the employer of Warren Buffett's son, Howie, was accused by the FBI of price-fixing. Warren Buffett advised Howie to imagine the worst-and-bast-case scenarios if he stayed with the company. His son quickly realized that the risks of staying far outweighed any potential gains, and he quit the next day.
10. Know What Success Really Means: Despite his wealth, Warren Buffett does not measure success by dollars. In 2006, he pledged to give away almost his entire fortune to charities, primarily the Bill and Melinda Gates Foundation
1. Reinvest Your Profits: When you first make money, you may be tempted to spend it. Don't. Instead, reinvest the profits. Warren Buffett learned this early on. In high school, he and a pal bought a pinball machine to pun in a barbershop. With the money they earned, they bought more machines until they had eight in different shops. When the friends sold the venture, Warren Buffett used the proceeds to buy stocks and to start another small business.
2. Be Willing To Be Different: Don't base your decisions upon what everyone is saying or doing. When Warren Buffett began managing money in 1956 with $100,000 cobbled together from a handful of investors, he was dubbed an oddball. He worked in Omaha, not Wall Street, and he refused to tell his parents where he was putting their money. People predicted that he'd fail, but when he closed his partnership 14 years later, it was worth more than $100 million.
3. Never Suck Your Thumb: Gather in advance any information you need to make a decision, and ask a friend or relative to make sure that you stick to a deadline. Warren Buffett prides himself on swiftly making up his mind and acting on it.
4. Spell Out The Deal Before You Start: Your bargaining leverage is always greatest before you begin a job -- that's when you have something to offer that the other party wants. Warren Buffett learned this lesson the hard way as a kid, when his grandfather Ernest hired him and a friend to dig out the family grocery store after a blizzard. The boys spent five hours shoveling until they could barely straighten their frozen hands.
5. Watch Small Expenses: Warren Buffett invests in businesses run by managers who obsess over the tiniest costs. He one acquired a company whose owner counted the sheets in rolls of 500-sheet toilet paper to see if he was being cheated (he was). He also admired a friend who painted only on the side of his office building that faced the road. Exercising vigilance over every expense can make your profits -- and your paycheck -- go much further.
6. Limit What You Borrow: Living on credit cards and loans won't make you rich. Warren Buffett has never borrowed a significant amount -- not to invest, not for a mortgage.
7. Be Persistent: With tenacity and ingenuity, you can win against a more established competitor. Warren Buffett acquired the Nebraska Furniture Mart in 1983 because he liked the way its founder, Rose Blumkin, did business.
8. Know When To Quit: Once, when Warren Buffett was a teen, he went to the racetrack. He bet on a race and lost. To recoup his funds, he bet on another race.
9. Assess The Risk: In 1995, the employer of Warren Buffett's son, Howie, was accused by the FBI of price-fixing. Warren Buffett advised Howie to imagine the worst-and-bast-case scenarios if he stayed with the company. His son quickly realized that the risks of staying far outweighed any potential gains, and he quit the next day.
10. Know What Success Really Means: Despite his wealth, Warren Buffett does not measure success by dollars. In 2006, he pledged to give away almost his entire fortune to charities, primarily the Bill and Melinda Gates Foundation
GREAT DEPRESSION
GREAT DEPRESSION :
The Great Depression lasted from October 24, 1929 until the economic recovery of the 1940s. On October 29, Black Thursday, the stock market crashed heavily, and continued to fall sharply throughout the coming weeks. As a result, the United States and the world were thrown into a decade of poverty and unemployment. The depression affected all sectors of the economy. Farm owners and agricultural workers suffered from falling crop prices. Businesses failed from a lack of investment support and a decline in the ability of the masses to afford their products. Banks closed their doors as the nation's citizens hoarded their money and defaulted on loan payments. Unemployment and abject poverty enveloped the nation.
Herbert Hoover was President of the United States at the onset of the depression. His message to the people was one of continued belief in recovery, even in the face of worsening conditions. Though he eventually sparked some government action in an effort to curb the effects of the depression, he believed in the power of the economy to right itself without government intervention. The situation did not improve, and dissent grew throughout the nation. Hoover lost the presidency to Franklin Roosevelt in the 1932 election.
FDR quickly shifted from a stance of non-intervention to a government policy of regulation and relief. During the first hundred days of his presidency, he and his highly trusted advisors, known as the Brain Trust, created the New Deal. Marshalling a previously unseen executive power, Roosevelt created a number of agencies to aid agriculture, business, and the unemployed. The nation mobilized, and it appeared the economy might improve. However, the economy remained troubled, and criticism of the New Deal rose up in the government and in some political circles. A number of Supreme Court Rulings effectively dismantled the primary mechanisms of FDR's plan.
Undaunted, and gaining a public mandate with the Democratic successes in the 1934 midterm election, FDR set forth the Second New Deal in 1935. This program reaffirmed the administration's commitment to public support of the nation's troubled people. Great steps were taken in attempts to solve the unemployment problem and stimulate economic recovery. The legislation passed during this period would be the framework of the New Deal throughout the remainder of the decade. The economy showed some signs of recovery but was set back by the 1937 recession. After that, FDR enacted few additional measures to cope with the depression. Finally, economic recovery took place under the war economy of the early 1940s, with levels of poverty and unemployment returned to pre-depression levels.
The Depression brought marked changes to the political and entertainment culture of the United States. A culture of dissent and disillusionment produced ample political outlets, such as Huey Long's Share Our Wealth program. Dissent and disillusionment sparked by the depression affected popular culture as well. The 1930s were the golden age of radio. Radio shows, most of them comedies and soap operas, took people's minds off their troubles and provided happiness in a time of great sadness. Hollywood also flourished, as people flocked to the theatres to escape their everyday world of poverty and despair. In contrast, intellectuals and authors delivered a sharp dose of realism. Many were directly critical of capitalism and supported political alternatives, such as socialism or communism.
The Great Depression was a time of sadness and poverty for many, and became an abiding historical watermark in American history and consciousness. It produced a distinct political response that defined the Democratic Party throughout the twentieth century; some New Deal policies, such as Social Security, are now considered bedrock rights of American citizens. Under FDR, a new conception of the federal government emerged, based on the belief in economic regulation and social welfare.
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Black Thursday –The crash
In the roaring 1920s, the United States bathed in previously unheard of prosperity. Industry and agriculture alike profited from the thriving economy. The Federal Reserve Board (known as "the Fed") practiced a policy of easy money, and consumer conf idence was high. Average income grew steadily throughout the decade and production soared. Levels of investment grew to new heights. At year's end in 1925, the market value of all stocks totaled $27 billion. By early October of 1929, that number had g rown to $87 billion. However, the economy began to slow down in 1928, and the trend continued in 1929. Agricultural prices slipped, a result of production surpluses and a downturn in business activity. In July of 1928, the Federal Reserve Board, took n otice and hiked interest rates in an attempt to slow investment to a pace more appropriate to the economic decline. Despite this and other warning signs, patterns of investment continued much as they had in the mid-20s, giving little recognition to the e conomic slowdown. The stage was set for a major market correction.
On October 24, 1929, dubbed Black Thursday, the stock market crashed. Prices began to decline early in the day, triggering a selling panic in the New York Stock Exchange (NYSE). When trading closed the Dow Jones Industrial Average had fallen 9 percent and 12,894,650 shares of stock had changed hands, smashing the previous record of 8,246,742. Despite the crash, reports remained optimistic. Major New York banks united to buy up $30 million worth of stock in efforts to stabilize the market, and president Herbert Hoover announced that recovery was expected. Hoover's claims had little merit; the situation became bleaker during the next week. October 29 broke the now four-day old NYSE record for number of transactions: 16,410,035 shares changed hands in total. The market dropped 17.3 percent, confirming, and cementing, the permanency of the crash. The coming months saw no recovery.
The crash in the market spelled disaster for the national economy. Corporations with heavy investments faced a sudden and almost insurmountable shock to their assets. Investing froze. As a result, the national economy fell into an unprecedented period of depression. Import spending dropped from $4.399 billion in 1929 to only $1.323 billion by 1932. The same period saw a sharp drop in exports as well. National income slipped lower each year from 1929 to 1932, and did not return to pre-depression levels until World War II. Production reached its low point in 1932, contributing a slide in Gross National Product from $104 billion in 1929 to $59 billion in 1932. This drop in output caused unemployment to balloon over the same period, from 1.6 million unemployed in 1932 to 13 million in 1933; unemployment became arguably the foremost problem of the depression. Agricultural prices were cut almost in half, and many farms foreclosed upon.
Explaining the crash
The common explanation for event of the stock market crash in 1929 has remained constant from the time of crash until the present. Economists and historians generally agree that wild speculation had inflated stock prices far beyond their appropriate levels, and that at the first sign of a correction, traders panicked and began selling their stock, fueling the crash even further. Speculation on the future value of stocks presented a particularly significant problem in the 1920s because quite often investors bought stock with loaned money. Banks, confident in a rising market, were willing to loan speculators up to three quarters of the price of stock purchases. When the crash hit, it had a double effect; borrowing investors were unable to repay their debts, and banks could not collect their loans.
There is evidence to support the theory proposing rampant speculation as a cause of the crash, such as the increase in total market value from $27 billion in 1925 to $87 billion in 1929. During the period from 1922 to 1928, the Dow grew by 218.7 percent, followed by a drop of 73 percent between 1929 and 1932. Economist Harold Bierman uses the specific example of utility stocks, calculating that they were, on average, selling for three times their inherent value based on accounting numbers. Utilities stocks represented 18 percent of all shares on the New York Stock Exchange, meaning that small corrections in utility stock prices would have large effects on the market at large. These arguments suggest that the crash represented a market correction made necessary by inflation of stock prices due to speculation. However, many economists and historians cite a more varied and complex group of causes as contributing to the crash as well.
One theory of contributing causes cites the liquidation of British investments in the US market as an important factor in the crash. This liquidation resulted from market anxiety and tighter market controls in English markets after the revelation of the Clarence Haftry scandal. Hatry, a businessman in England, was found guilty of a plot in which he created and issued false securities to finance the operation of companies he owned. When caught, he owed English banks more than $65 million. He was unable to pay, and the banks bore the brunt of the disaster. These events led the British government to consider and implement a number of regulations on investment, and may have played into the decision of the Central Bank of England to hike interest rates. The increase in regulation, interest rates, and market anxiety that resulted from the Hatry scandal caused British investors to reduce foreign holdings, most of which were in the US market. While this argument might seem compelling, there is little evidence to suggest that this withdrawal was significant enough to play a part in triggering the selling panic of late October 1929.
Another, more compelling theory is that the stringent attempts of the US government and the Federal Reserve Board to stop speculation caused an overreaction in the market, leading to the selling panic. During 1928 and 1929, Hoover headed a crusade to curb speculation, which he feared would lead to a fierce correction in the market. He encouraged the media to warn about the perils of speculation and newspapers and radio news programs responded with frequent predictions of doom should the wild speculation continue. Hoover also encouraged the Fed to take measures to slow the economy. The Fed responded by increasing the discount rate from 5 to 6 percent, effectively increasing all interest rates. However, the warnings of the news media fell on seemingly deaf ears, as the market continued to provide lucrative profits for speculators, and the increased interest rates on loans did little to deter speculators who expected much higher returns on investment. Considering the lack of immediate effects, it is difficult to see how the crusade against speculation could have directly triggered the crash, but it no doubt helped to set the stage for the reversal of fortunes in late 1929.
There were many causes of the stock market crash October 24, 1929. Of these various factors, the market speculation of the 1920s is the most important. However, one must consider external forces such as foreign investment, and look into the psychology of the market players in order to get a complete picture of the causes of the crash.
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Onset of the great depression
Following the stock market crash of 1929, the Great Depression took hold of America. Poverty and unemployment were rampant. No economic sector escaped the ravages of the depression. The decline of purchasing power in the market commodities staggered agriculture, which already had been suffering the effects of production surpluses. The prices of agricultural products fell off rapidly, and farmers responded by upping production. National wheat production, for example, was 35 million bushels higher in 1930 than it was in 1929, while prices fell from $1.09 to $0.71 per bushel. The results were disastrous.
In 1930, average farm income slid to the lowest it had been since 1921. Many farmers could not afford to pay their mortgages and lost their land. In 1933, 5 percent of the nation's farms underwent mortgage foreclosures. Nowhere was the situation worse than in the area known as the Dust Bowl, an area of about 150,000 square miles in the Midwest. As a result of excessive farming during the 1920s and before, this region suffered from massive soil erosion and dust storms which made it impossible to continue farming there in the 1930s. Millions of farmers migrated west to find new land or, in most cases, become temporary workers or sharecroppers. This helped the farm economy in some ways by cutting down production, but it brought misery to the people of the formerly fertile Dust Bowl.
The sluggish economy drastically reduced the quantity of goods and services bought and sold. The industrial and financial urban centers suffered from vast numbers of business failures, which came to a head in 1932 with over 30,000 failures nationwide. Banks closed their doors because of a lack of liquid assets. Almost 2500 banks suspended operation in 1931. Production fell off in the industrial sector as a result of falling investment and an inability to pay workers.
The massive numbers of closures and shut downs led to similarly huge unemployment. Unemployment reached an unheard of high of 25 percent in 1933, and hovered between 15 and 20 percent for the majority of the 1930s. Small towns and villages were hit the hardest, as were unskilled workers and minorities. Employment in the fields of construction and the manufacture of durable goods was especially hard hit, with 10 percent of engineers simultaneously unemployed in 1932. Abject poverty resulted. Children received inadequate nutrition and healthcare, and starvation became an everyday occurrence. The unemployed were evicted from their homes and left to wander the nation in search of jobs and charity. Ashamed of their degraded status, many committed suicide; the suicide rate in the US rose 30 percent between 1928 and 1932. Some of these wandering unemployed took action, most notably in organizing the demonstration known as the Shame of Anacostia Flats. At the beginning of the summer of 1932 more than 15,000 people, destitute and unemployed, converged on Washington D.C., to the Anacostia Flats area. Most of them were veterans of World War I who were demanding face value payment of their adjusted service certificates, bonds which were set to mature in 1945. On Hoover's orders, the army drove the demonstrators away.
Impact
The onset of the depression in both rural and urban areas demonstrated the inability of the US economy to cope with the impact of the stock market crash. To the citizen living in America in the 1930s, it seemed that everything that could go wrong did for business and agriculture alike. Economists differ in their explanations of the conditions that kept the economy from quickly recovering, as many at the time expected it would. There are three main strains of argument which seek to explain the causes of the prolonged tailspin of the economy during the Great Depression:
1. Inequality of income and wealth led to instability in the prosperity of the 1920s and set the stage for the heavy impact of the depression on those at the bottom of the economic heap. 2. The industrial or agricultural sectors had not yet correctly adapted to recent technological changes at the time of the crash, exacerbating the difficulties faced by each. 3. Because of Fed policy and other mitigating factors, the money supply was overly contracted, leaving the economy short of the assets required for recovery.
Many economists claim that the structural inequalities of the 1920s were cause for weakness in the economy. During the 1920s, corporate profits rose greatly, but wages at the lowest level did not much change. As a result, the percentage of total income in the United States controlled by the top 5 percent of earners rose from 22 to 26 percent, while the bottom 40 percent of earners controlled only 12 percent at the time of the crash. This inequality had multiple effects. First, it meant that the market for luxury goods boomed in the 1920s. Once tighter financial times set in, however, the luxury market became more or less defunct, causing the collapse of a significant number of businesses and the unemployment of the workers within that industry. Second, and more importantly, the inequality in wealth meant that the middle and lower classes would be more deeply affected by the depression than they would have had there been greater equality. First, the poor had no nest egg on which to rely during times of hardship. Second, the rich were so much richer than the poor that they had no concept of a common fate. Any measures taken to ensure the stability of the rich, then, were not likely to aid the poor in their quest for employment, shelter, and sustenance. This left the poorer classes on their own to fight the depression, without the benefit of personal wealth to engender stability.
Other economists cite the application of technology as a major factor leading to the great impact of the market crash. In the agricultural sector, technology steadily advanced during the early twentieth century. As technology made farms more efficient, commodity prices dropped. However, because the commercial market grew markedly during and following World War I through the inclusion of foreign purchasers-- mostly Europeans whose farmlands had been ravaged by the war--demand kept up with supply. However, once the depression set in and the United States' markets became increasingly isolated, it became clear that the technological advances in farming benefited consumers more than producers. Effectively, then, technology increased production to excessive levels and thereby created the drop in prices that cut farm income drastically. The industrial sector, it is argued, suffered from a different problem. The claim made by some economists is that many areas of industry lagged in the application of technology in the late 1920s and throughout the 1930s. As a result, these industries failed to attract the investment needed to keep up production and employ sufficient numbers of workers.
The third economic approach that tries to explain the extent to which the depression entombed the US is the 'monetarist' school, advanced by Milton Friedman and others. The monetarists blame the short money supply for the descent into depression. They claim that a greater money supply, which could have existed had the Fed made different decisions regarding monetary policy, would have jump-started the economy through heightened consumer spending and investment. During the early depression, the Fed kept a tight monetary policy, attempting to stave off inflation. The monetarists believe that some inflation is a necessary side effect of an easy money policy that would have increased economic activity and led to quicker recovery.
All economists who theorize about the causes of the onset of depression recognize that the United States was not the only nation in economic turmoil. It is important to think about the depression as a global phenomenon, and to realize that the United States has strong economic ties to many foreign nations. Developments abroad had effects on the domestic economy throughout the 1930s, and vice versa.
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The global scale of the great depression
The Great Depression extended beyond the borders of the United States. The crisis occurred within the context of a global economic slowdown, which as a whole both contributed to and was influenced by the American depression. Many nations, especially in Europe, experienced economic trouble leading up to the period of the depression. The American stock market crash was certainly the largest event leading up to the global depression, but it was not the first sign of the weakening of the global economy, and it was not the last. Many economies experienced a time lag before the effects of the American crash set in and economic conditions took a distinct turn for the worse. By the early 1930s, nearly every nation of the world had sunk into depression. The political responses of nations struck by economic hardship differed by region.
The most relevant political response in Europe was the rise of fascism. Fascism emerged, most notably in Italy and Germany, under the leadership of Benito Mussolini and Adolf Hitler, respectively. The trend of rising fascism may be seen throughout the years following the ravages of World War I, but was especially prominent as a response to the Great Depression. European fascism stressed national solidarity and protectionism. These values could be seen in economic programs of neo-mercantilism, which insulated fascist nations from world trade as they attempted to recover from the depression.
Fascism in Europe was most remarkable and had the greatest global consequences in the special case of Germany. No country in the world was as hard hit as Germany by the depression. As the loser of World War One, Germany was bound by the Treaty of Versailles to pay extensive reparations to France and Great Britain. These reparations proved a constant economic problem for Germany throughout the 1920s, leading to high inflation as the government printed money at a rapid rate in order to pay reparations and attempt to stimulate the economy simultaneously. As a result, Germany experienced poverty and unemployment, even before the Great Depression arose. The depression enhanced the preexisting economic difficulties, and unemployment peaked at over 30 percent in 1932. The German government struggled to develop a coherent recovery strategy until Hitler and the Nazi Party came to power on January 30, 1933. Hitler mobilized the industrial economy in preparation for war, and instituted protectionist trade reforms. The economy began to slowly recover. More importantly, however, Hitler used his leadership position to advance his ideology of Aryan racial superiority and his desire for European and global hegemony. This ideology set the stage for the Second World War.
The experience of the depression produced different responses in other areas of the world. Latin America and South America saw the rise of Populism, a movement centered around the desire to reduce economic ties to the United Sates and Europe and focus on the development of domestic markets and domestic social programs. Populism constituted a rebellion against the ruling economic oligarchies, which favored free trade and high exports in Brazil, Argentina, Peru, and elsewhere.
Within the colonized states of Asia and Africa, the 1930s was a decade of rebellion against colonial powers and the advent of freedom movements. In India, there was a successful movement to enfranchise the peasant classes, which significantly diluted the power of both British and Indian elites. Colonized states throughout Asia and Africa responded similarly. Southeast Asian colonies had the most pronounced movements, as Burma and Vietnam both attempted to win Independence. Vietnam turned toward Communism, a shift that would have marked effects on the world stage throughout the coming decades.
Due to the linkage of the world's economies through networks of trade, the Great Depression was a common global experience. However responses differed by region based on distinct preconditions, and produced results that significantly shaped the future in each region.
In Europe, the experience of the 1920s and early 1930s was one of constant chaos and frustration. The 1920s were spent coping with the significant economic setbacks of World War One, followed by the onset of depression in the early 1930s. Between the two wars, European nations were continuously trying to find a system of organization and a balance of power that would function diplomatically and economically. The result was a feeling of general chaos among the people. Out of this chaos grew a desire for order. In some nations this desire was satisfied through a political shift toward socialism. In Italy and Germany, where chaos was especially prevalent, the desire for order was met by the rise of fascism. Fascism offered an aggressive stance toward economic recovery, which appealed to the helpless masses. Nationalism, another primary feature of fascism, was attractive in that it united the people to battle the scourge of the depression, and prioritized the urgent needs of the body of citizens. As for the ideology of global hegemony, it capitalized on feelings of frustration, helplessness, and victimization. The goal of global dominance was the extreme embodiment of the conviction that the depression was imposed by external forces which must be removed from power in the name of stability. The consequences of the rise of European fascism are well known. World War Two began as the result of the goal of global hegemony propagated by Hitler in Germany.
In Latin and South America, as well as Asia, the shock of the depression provoked a change in consciousness for the disadvantaged people who had traditionally been relegated to the periphery of the market. The unrest created by the depression marked a chance for the masses to change the power alignment. There was an outpouring of latent resentment of those who, in power, had kept the masses silent and voiceless. In Latin and South America, this resentment found an outlet in the Populist movement, which rebelled against the oligarchies that had, for years, kept the economic focus on international trade, at the expense of the domestic economy. In Asia and Africa, this resentment took the form of independence movements, rebelling against the distant colonial powers which had undermined the sovereignty of the local masses. Linking these responses to the rise of fascism in Europe was the advent of nationalism resulting from the hope that together, the masses could overcome the depression, and from the conviction that recovery was contingent upon self- reliance. This change of consciousness had long-reaching effects.
Populism in Latin and South America paved the way for the ascension of a number of nationalistic dictators who would significantly shape the evolution of the region during the coming decades. In Africa, anti-colonial movements were a feature of life until the colonial powers finally granted independence to many colonies during the 1950s and 60s. In Asia, anti-colonialism led to major conflicts between nationalistic independence movements and the colonial powers. The most notable case is that of Vietnam, where Communist nationals struggled for over twenty years to win independence in the face of opposition from France and later, the United States.
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Recovery and war economy
Beginning in 1933, when policies began to reflect a more socialist political approach in both the United States and Europe, the global economy entered a state of gradual recovery, or at least stability. Franklin Roosevelt was the architect of this recovery in the United States. 1933 was the economic low point of the Great Depression, with unemployment in the United States topping out at 25.2 percent. Under the liberal reforms of Franklin Roosevelt, the unemployment rate dropped steadily, to 20.3 percent in 1935, to 14.3 percent in 1937, and then up slightly to 17.2 percent in 1939 as a result of the 1937 recession.
Under FDR, the Federal Reserve Board gained greater power and freedom to directly manage the economy. Monetary policy under FDR was generally expansionary, flooding money into the market, in efforts to stimulate recovery. The result of this easy money policy was a rise in prices, a rise in production, and a rise in investment, all factors that helped the desired goal of stimulating economic activity and helping to lessen unemployment. As a result, by 1935, real weekly earnings in the US had regained 1929 levels. By 1939, real earnings climbed another 18 percent.
However, through 1940 the depression still held the US fully in its grasp. Businesses had grown somewhat confident and willing to invest in development, but most were wary of tying up liquid assets in investment, concerned that there might be a relapse into depression at any moment. Individuals were more confident in the stability of the bank system due to the backing provided by the Federal Deposit Insurance Corporation (FDIC) created in June of 1933, but there was still an element of distrust in dealings with the banks, which had failed in early 1933. It was not until the United States became embroiled in World War II that the Great Depression ended for good.
The United States Senate issued a declaration of war on Japan on December 8, 1941, and Germany declared war on the US on December 11. Industrial factories were at first slow to convert to military output, but by 1942, 33 percent of the economy was devoted to the war effort. Between 1941 and 1945 the US spent approximately $250 million a day in efforts to defeat the enemies. Federal expenditures were more than $320 billion over that period. That was two times as much money as the federal government had spent in its entire history up to that point. This influx of money stimulated an industrial boom and vanquished unemployment. By the end of the war in 1945, farm income had more than doubled. Corporate profits rose by 70 percent over their 1940 level, and the real wages of industrial workers increased by 50 percent. Perhaps most notably, the earnings of the bottom fifth of workers climbed 68 percent. Gross Domestic Product (GDP) nearly doubled, from $832 billion in 1940 to $1559 billion, measured in constant 1987 dollars. Living standards improved significantly. The Great Depression ended, swept away by the war.
There is no doubt that it took the United States' involvement in war to stimulate the full recovery of the economy. However, historians differ on the question of the extent to which the New Deal began, and set the stage for, full recovery. Some historians and economists criticize FDR's programs, claiming that the economy would have rebounded naturally more quickly without government intervention. They criticize the deficit spending that Roosevelt maintained throughout his terms in office. Others claim that Roosevelt kept the economy afloat with his social programs and spending.
Those who laud Roosevelt's efforts at recovery often claim that the success of his varied programs stemmed from the unifying fact that most of the New Deal programs (and especially those of the Second New Deal) were socialist in spirit. The programs' socialist aspects include the regulation of the banking system and other financial institutions, involvement in wage determination through the National Recovery Administration and the Fair Labor Standards Act, policies of moderate redistribution of wealth, and the granting of social welfare programs to the disadvantaged. Liberal analysts claim it was socialism in America and abroad, notably in Germany, which carried nations through and out of depression.
If it is true that FDR's policy decisions were helpful to the economy, there must be an explanation of the prolonged effects of the depression under the New Deal. Historians explain the lag in recovery by examining the psychology of the businessmen and investors. The argument is that despite the effectiveness and soundness of the New Deal programs, the precarious economy of the early 1930s was ever-present in the minds of those with the ability to stimulate economic activity. Steady price and wage decreases at the onset of the depression created the expectation of further cuts. Thus businessmen cut production in anticipation of declining profits, and let workers go in accordance. Investors, seeing these trends, saw no opportunities for profitable investment. The economy was stagnant. Despite FDR's attempts to inspire confidence in the leaders of industry, and the slowly improving economy, both investors and businessmen were wary of overextending their funds. They feared investing in research and development that might not pay off.
Even shortly after the beginning of the war, leaders of industry felt reluctant to switch over to war production, fearing that the war would end too soon for investments in the conversion of production to pay off. As a result, the army suffered significant shortages during the early months of the war. After it became clear that the war was deepening and that the United States government was willing to spend a great deal of money on the war effort, expectations changed. Investment expansion and recovery ensued, bringing an end to the misery of the Great Depression.
The Great Depression lasted from October 24, 1929 until the economic recovery of the 1940s. On October 29, Black Thursday, the stock market crashed heavily, and continued to fall sharply throughout the coming weeks. As a result, the United States and the world were thrown into a decade of poverty and unemployment. The depression affected all sectors of the economy. Farm owners and agricultural workers suffered from falling crop prices. Businesses failed from a lack of investment support and a decline in the ability of the masses to afford their products. Banks closed their doors as the nation's citizens hoarded their money and defaulted on loan payments. Unemployment and abject poverty enveloped the nation.
Herbert Hoover was President of the United States at the onset of the depression. His message to the people was one of continued belief in recovery, even in the face of worsening conditions. Though he eventually sparked some government action in an effort to curb the effects of the depression, he believed in the power of the economy to right itself without government intervention. The situation did not improve, and dissent grew throughout the nation. Hoover lost the presidency to Franklin Roosevelt in the 1932 election.
FDR quickly shifted from a stance of non-intervention to a government policy of regulation and relief. During the first hundred days of his presidency, he and his highly trusted advisors, known as the Brain Trust, created the New Deal. Marshalling a previously unseen executive power, Roosevelt created a number of agencies to aid agriculture, business, and the unemployed. The nation mobilized, and it appeared the economy might improve. However, the economy remained troubled, and criticism of the New Deal rose up in the government and in some political circles. A number of Supreme Court Rulings effectively dismantled the primary mechanisms of FDR's plan.
Undaunted, and gaining a public mandate with the Democratic successes in the 1934 midterm election, FDR set forth the Second New Deal in 1935. This program reaffirmed the administration's commitment to public support of the nation's troubled people. Great steps were taken in attempts to solve the unemployment problem and stimulate economic recovery. The legislation passed during this period would be the framework of the New Deal throughout the remainder of the decade. The economy showed some signs of recovery but was set back by the 1937 recession. After that, FDR enacted few additional measures to cope with the depression. Finally, economic recovery took place under the war economy of the early 1940s, with levels of poverty and unemployment returned to pre-depression levels.
The Depression brought marked changes to the political and entertainment culture of the United States. A culture of dissent and disillusionment produced ample political outlets, such as Huey Long's Share Our Wealth program. Dissent and disillusionment sparked by the depression affected popular culture as well. The 1930s were the golden age of radio. Radio shows, most of them comedies and soap operas, took people's minds off their troubles and provided happiness in a time of great sadness. Hollywood also flourished, as people flocked to the theatres to escape their everyday world of poverty and despair. In contrast, intellectuals and authors delivered a sharp dose of realism. Many were directly critical of capitalism and supported political alternatives, such as socialism or communism.
The Great Depression was a time of sadness and poverty for many, and became an abiding historical watermark in American history and consciousness. It produced a distinct political response that defined the Democratic Party throughout the twentieth century; some New Deal policies, such as Social Security, are now considered bedrock rights of American citizens. Under FDR, a new conception of the federal government emerged, based on the belief in economic regulation and social welfare.
Top
Black Thursday –The crash
In the roaring 1920s, the United States bathed in previously unheard of prosperity. Industry and agriculture alike profited from the thriving economy. The Federal Reserve Board (known as "the Fed") practiced a policy of easy money, and consumer conf idence was high. Average income grew steadily throughout the decade and production soared. Levels of investment grew to new heights. At year's end in 1925, the market value of all stocks totaled $27 billion. By early October of 1929, that number had g rown to $87 billion. However, the economy began to slow down in 1928, and the trend continued in 1929. Agricultural prices slipped, a result of production surpluses and a downturn in business activity. In July of 1928, the Federal Reserve Board, took n otice and hiked interest rates in an attempt to slow investment to a pace more appropriate to the economic decline. Despite this and other warning signs, patterns of investment continued much as they had in the mid-20s, giving little recognition to the e conomic slowdown. The stage was set for a major market correction.
On October 24, 1929, dubbed Black Thursday, the stock market crashed. Prices began to decline early in the day, triggering a selling panic in the New York Stock Exchange (NYSE). When trading closed the Dow Jones Industrial Average had fallen 9 percent and 12,894,650 shares of stock had changed hands, smashing the previous record of 8,246,742. Despite the crash, reports remained optimistic. Major New York banks united to buy up $30 million worth of stock in efforts to stabilize the market, and president Herbert Hoover announced that recovery was expected. Hoover's claims had little merit; the situation became bleaker during the next week. October 29 broke the now four-day old NYSE record for number of transactions: 16,410,035 shares changed hands in total. The market dropped 17.3 percent, confirming, and cementing, the permanency of the crash. The coming months saw no recovery.
The crash in the market spelled disaster for the national economy. Corporations with heavy investments faced a sudden and almost insurmountable shock to their assets. Investing froze. As a result, the national economy fell into an unprecedented period of depression. Import spending dropped from $4.399 billion in 1929 to only $1.323 billion by 1932. The same period saw a sharp drop in exports as well. National income slipped lower each year from 1929 to 1932, and did not return to pre-depression levels until World War II. Production reached its low point in 1932, contributing a slide in Gross National Product from $104 billion in 1929 to $59 billion in 1932. This drop in output caused unemployment to balloon over the same period, from 1.6 million unemployed in 1932 to 13 million in 1933; unemployment became arguably the foremost problem of the depression. Agricultural prices were cut almost in half, and many farms foreclosed upon.
Explaining the crash
The common explanation for event of the stock market crash in 1929 has remained constant from the time of crash until the present. Economists and historians generally agree that wild speculation had inflated stock prices far beyond their appropriate levels, and that at the first sign of a correction, traders panicked and began selling their stock, fueling the crash even further. Speculation on the future value of stocks presented a particularly significant problem in the 1920s because quite often investors bought stock with loaned money. Banks, confident in a rising market, were willing to loan speculators up to three quarters of the price of stock purchases. When the crash hit, it had a double effect; borrowing investors were unable to repay their debts, and banks could not collect their loans.
There is evidence to support the theory proposing rampant speculation as a cause of the crash, such as the increase in total market value from $27 billion in 1925 to $87 billion in 1929. During the period from 1922 to 1928, the Dow grew by 218.7 percent, followed by a drop of 73 percent between 1929 and 1932. Economist Harold Bierman uses the specific example of utility stocks, calculating that they were, on average, selling for three times their inherent value based on accounting numbers. Utilities stocks represented 18 percent of all shares on the New York Stock Exchange, meaning that small corrections in utility stock prices would have large effects on the market at large. These arguments suggest that the crash represented a market correction made necessary by inflation of stock prices due to speculation. However, many economists and historians cite a more varied and complex group of causes as contributing to the crash as well.
One theory of contributing causes cites the liquidation of British investments in the US market as an important factor in the crash. This liquidation resulted from market anxiety and tighter market controls in English markets after the revelation of the Clarence Haftry scandal. Hatry, a businessman in England, was found guilty of a plot in which he created and issued false securities to finance the operation of companies he owned. When caught, he owed English banks more than $65 million. He was unable to pay, and the banks bore the brunt of the disaster. These events led the British government to consider and implement a number of regulations on investment, and may have played into the decision of the Central Bank of England to hike interest rates. The increase in regulation, interest rates, and market anxiety that resulted from the Hatry scandal caused British investors to reduce foreign holdings, most of which were in the US market. While this argument might seem compelling, there is little evidence to suggest that this withdrawal was significant enough to play a part in triggering the selling panic of late October 1929.
Another, more compelling theory is that the stringent attempts of the US government and the Federal Reserve Board to stop speculation caused an overreaction in the market, leading to the selling panic. During 1928 and 1929, Hoover headed a crusade to curb speculation, which he feared would lead to a fierce correction in the market. He encouraged the media to warn about the perils of speculation and newspapers and radio news programs responded with frequent predictions of doom should the wild speculation continue. Hoover also encouraged the Fed to take measures to slow the economy. The Fed responded by increasing the discount rate from 5 to 6 percent, effectively increasing all interest rates. However, the warnings of the news media fell on seemingly deaf ears, as the market continued to provide lucrative profits for speculators, and the increased interest rates on loans did little to deter speculators who expected much higher returns on investment. Considering the lack of immediate effects, it is difficult to see how the crusade against speculation could have directly triggered the crash, but it no doubt helped to set the stage for the reversal of fortunes in late 1929.
There were many causes of the stock market crash October 24, 1929. Of these various factors, the market speculation of the 1920s is the most important. However, one must consider external forces such as foreign investment, and look into the psychology of the market players in order to get a complete picture of the causes of the crash.
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Onset of the great depression
Following the stock market crash of 1929, the Great Depression took hold of America. Poverty and unemployment were rampant. No economic sector escaped the ravages of the depression. The decline of purchasing power in the market commodities staggered agriculture, which already had been suffering the effects of production surpluses. The prices of agricultural products fell off rapidly, and farmers responded by upping production. National wheat production, for example, was 35 million bushels higher in 1930 than it was in 1929, while prices fell from $1.09 to $0.71 per bushel. The results were disastrous.
In 1930, average farm income slid to the lowest it had been since 1921. Many farmers could not afford to pay their mortgages and lost their land. In 1933, 5 percent of the nation's farms underwent mortgage foreclosures. Nowhere was the situation worse than in the area known as the Dust Bowl, an area of about 150,000 square miles in the Midwest. As a result of excessive farming during the 1920s and before, this region suffered from massive soil erosion and dust storms which made it impossible to continue farming there in the 1930s. Millions of farmers migrated west to find new land or, in most cases, become temporary workers or sharecroppers. This helped the farm economy in some ways by cutting down production, but it brought misery to the people of the formerly fertile Dust Bowl.
The sluggish economy drastically reduced the quantity of goods and services bought and sold. The industrial and financial urban centers suffered from vast numbers of business failures, which came to a head in 1932 with over 30,000 failures nationwide. Banks closed their doors because of a lack of liquid assets. Almost 2500 banks suspended operation in 1931. Production fell off in the industrial sector as a result of falling investment and an inability to pay workers.
The massive numbers of closures and shut downs led to similarly huge unemployment. Unemployment reached an unheard of high of 25 percent in 1933, and hovered between 15 and 20 percent for the majority of the 1930s. Small towns and villages were hit the hardest, as were unskilled workers and minorities. Employment in the fields of construction and the manufacture of durable goods was especially hard hit, with 10 percent of engineers simultaneously unemployed in 1932. Abject poverty resulted. Children received inadequate nutrition and healthcare, and starvation became an everyday occurrence. The unemployed were evicted from their homes and left to wander the nation in search of jobs and charity. Ashamed of their degraded status, many committed suicide; the suicide rate in the US rose 30 percent between 1928 and 1932. Some of these wandering unemployed took action, most notably in organizing the demonstration known as the Shame of Anacostia Flats. At the beginning of the summer of 1932 more than 15,000 people, destitute and unemployed, converged on Washington D.C., to the Anacostia Flats area. Most of them were veterans of World War I who were demanding face value payment of their adjusted service certificates, bonds which were set to mature in 1945. On Hoover's orders, the army drove the demonstrators away.
Impact
The onset of the depression in both rural and urban areas demonstrated the inability of the US economy to cope with the impact of the stock market crash. To the citizen living in America in the 1930s, it seemed that everything that could go wrong did for business and agriculture alike. Economists differ in their explanations of the conditions that kept the economy from quickly recovering, as many at the time expected it would. There are three main strains of argument which seek to explain the causes of the prolonged tailspin of the economy during the Great Depression:
1. Inequality of income and wealth led to instability in the prosperity of the 1920s and set the stage for the heavy impact of the depression on those at the bottom of the economic heap. 2. The industrial or agricultural sectors had not yet correctly adapted to recent technological changes at the time of the crash, exacerbating the difficulties faced by each. 3. Because of Fed policy and other mitigating factors, the money supply was overly contracted, leaving the economy short of the assets required for recovery.
Many economists claim that the structural inequalities of the 1920s were cause for weakness in the economy. During the 1920s, corporate profits rose greatly, but wages at the lowest level did not much change. As a result, the percentage of total income in the United States controlled by the top 5 percent of earners rose from 22 to 26 percent, while the bottom 40 percent of earners controlled only 12 percent at the time of the crash. This inequality had multiple effects. First, it meant that the market for luxury goods boomed in the 1920s. Once tighter financial times set in, however, the luxury market became more or less defunct, causing the collapse of a significant number of businesses and the unemployment of the workers within that industry. Second, and more importantly, the inequality in wealth meant that the middle and lower classes would be more deeply affected by the depression than they would have had there been greater equality. First, the poor had no nest egg on which to rely during times of hardship. Second, the rich were so much richer than the poor that they had no concept of a common fate. Any measures taken to ensure the stability of the rich, then, were not likely to aid the poor in their quest for employment, shelter, and sustenance. This left the poorer classes on their own to fight the depression, without the benefit of personal wealth to engender stability.
Other economists cite the application of technology as a major factor leading to the great impact of the market crash. In the agricultural sector, technology steadily advanced during the early twentieth century. As technology made farms more efficient, commodity prices dropped. However, because the commercial market grew markedly during and following World War I through the inclusion of foreign purchasers-- mostly Europeans whose farmlands had been ravaged by the war--demand kept up with supply. However, once the depression set in and the United States' markets became increasingly isolated, it became clear that the technological advances in farming benefited consumers more than producers. Effectively, then, technology increased production to excessive levels and thereby created the drop in prices that cut farm income drastically. The industrial sector, it is argued, suffered from a different problem. The claim made by some economists is that many areas of industry lagged in the application of technology in the late 1920s and throughout the 1930s. As a result, these industries failed to attract the investment needed to keep up production and employ sufficient numbers of workers.
The third economic approach that tries to explain the extent to which the depression entombed the US is the 'monetarist' school, advanced by Milton Friedman and others. The monetarists blame the short money supply for the descent into depression. They claim that a greater money supply, which could have existed had the Fed made different decisions regarding monetary policy, would have jump-started the economy through heightened consumer spending and investment. During the early depression, the Fed kept a tight monetary policy, attempting to stave off inflation. The monetarists believe that some inflation is a necessary side effect of an easy money policy that would have increased economic activity and led to quicker recovery.
All economists who theorize about the causes of the onset of depression recognize that the United States was not the only nation in economic turmoil. It is important to think about the depression as a global phenomenon, and to realize that the United States has strong economic ties to many foreign nations. Developments abroad had effects on the domestic economy throughout the 1930s, and vice versa.
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The global scale of the great depression
The Great Depression extended beyond the borders of the United States. The crisis occurred within the context of a global economic slowdown, which as a whole both contributed to and was influenced by the American depression. Many nations, especially in Europe, experienced economic trouble leading up to the period of the depression. The American stock market crash was certainly the largest event leading up to the global depression, but it was not the first sign of the weakening of the global economy, and it was not the last. Many economies experienced a time lag before the effects of the American crash set in and economic conditions took a distinct turn for the worse. By the early 1930s, nearly every nation of the world had sunk into depression. The political responses of nations struck by economic hardship differed by region.
The most relevant political response in Europe was the rise of fascism. Fascism emerged, most notably in Italy and Germany, under the leadership of Benito Mussolini and Adolf Hitler, respectively. The trend of rising fascism may be seen throughout the years following the ravages of World War I, but was especially prominent as a response to the Great Depression. European fascism stressed national solidarity and protectionism. These values could be seen in economic programs of neo-mercantilism, which insulated fascist nations from world trade as they attempted to recover from the depression.
Fascism in Europe was most remarkable and had the greatest global consequences in the special case of Germany. No country in the world was as hard hit as Germany by the depression. As the loser of World War One, Germany was bound by the Treaty of Versailles to pay extensive reparations to France and Great Britain. These reparations proved a constant economic problem for Germany throughout the 1920s, leading to high inflation as the government printed money at a rapid rate in order to pay reparations and attempt to stimulate the economy simultaneously. As a result, Germany experienced poverty and unemployment, even before the Great Depression arose. The depression enhanced the preexisting economic difficulties, and unemployment peaked at over 30 percent in 1932. The German government struggled to develop a coherent recovery strategy until Hitler and the Nazi Party came to power on January 30, 1933. Hitler mobilized the industrial economy in preparation for war, and instituted protectionist trade reforms. The economy began to slowly recover. More importantly, however, Hitler used his leadership position to advance his ideology of Aryan racial superiority and his desire for European and global hegemony. This ideology set the stage for the Second World War.
The experience of the depression produced different responses in other areas of the world. Latin America and South America saw the rise of Populism, a movement centered around the desire to reduce economic ties to the United Sates and Europe and focus on the development of domestic markets and domestic social programs. Populism constituted a rebellion against the ruling economic oligarchies, which favored free trade and high exports in Brazil, Argentina, Peru, and elsewhere.
Within the colonized states of Asia and Africa, the 1930s was a decade of rebellion against colonial powers and the advent of freedom movements. In India, there was a successful movement to enfranchise the peasant classes, which significantly diluted the power of both British and Indian elites. Colonized states throughout Asia and Africa responded similarly. Southeast Asian colonies had the most pronounced movements, as Burma and Vietnam both attempted to win Independence. Vietnam turned toward Communism, a shift that would have marked effects on the world stage throughout the coming decades.
Due to the linkage of the world's economies through networks of trade, the Great Depression was a common global experience. However responses differed by region based on distinct preconditions, and produced results that significantly shaped the future in each region.
In Europe, the experience of the 1920s and early 1930s was one of constant chaos and frustration. The 1920s were spent coping with the significant economic setbacks of World War One, followed by the onset of depression in the early 1930s. Between the two wars, European nations were continuously trying to find a system of organization and a balance of power that would function diplomatically and economically. The result was a feeling of general chaos among the people. Out of this chaos grew a desire for order. In some nations this desire was satisfied through a political shift toward socialism. In Italy and Germany, where chaos was especially prevalent, the desire for order was met by the rise of fascism. Fascism offered an aggressive stance toward economic recovery, which appealed to the helpless masses. Nationalism, another primary feature of fascism, was attractive in that it united the people to battle the scourge of the depression, and prioritized the urgent needs of the body of citizens. As for the ideology of global hegemony, it capitalized on feelings of frustration, helplessness, and victimization. The goal of global dominance was the extreme embodiment of the conviction that the depression was imposed by external forces which must be removed from power in the name of stability. The consequences of the rise of European fascism are well known. World War Two began as the result of the goal of global hegemony propagated by Hitler in Germany.
In Latin and South America, as well as Asia, the shock of the depression provoked a change in consciousness for the disadvantaged people who had traditionally been relegated to the periphery of the market. The unrest created by the depression marked a chance for the masses to change the power alignment. There was an outpouring of latent resentment of those who, in power, had kept the masses silent and voiceless. In Latin and South America, this resentment found an outlet in the Populist movement, which rebelled against the oligarchies that had, for years, kept the economic focus on international trade, at the expense of the domestic economy. In Asia and Africa, this resentment took the form of independence movements, rebelling against the distant colonial powers which had undermined the sovereignty of the local masses. Linking these responses to the rise of fascism in Europe was the advent of nationalism resulting from the hope that together, the masses could overcome the depression, and from the conviction that recovery was contingent upon self- reliance. This change of consciousness had long-reaching effects.
Populism in Latin and South America paved the way for the ascension of a number of nationalistic dictators who would significantly shape the evolution of the region during the coming decades. In Africa, anti-colonial movements were a feature of life until the colonial powers finally granted independence to many colonies during the 1950s and 60s. In Asia, anti-colonialism led to major conflicts between nationalistic independence movements and the colonial powers. The most notable case is that of Vietnam, where Communist nationals struggled for over twenty years to win independence in the face of opposition from France and later, the United States.
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Recovery and war economy
Beginning in 1933, when policies began to reflect a more socialist political approach in both the United States and Europe, the global economy entered a state of gradual recovery, or at least stability. Franklin Roosevelt was the architect of this recovery in the United States. 1933 was the economic low point of the Great Depression, with unemployment in the United States topping out at 25.2 percent. Under the liberal reforms of Franklin Roosevelt, the unemployment rate dropped steadily, to 20.3 percent in 1935, to 14.3 percent in 1937, and then up slightly to 17.2 percent in 1939 as a result of the 1937 recession.
Under FDR, the Federal Reserve Board gained greater power and freedom to directly manage the economy. Monetary policy under FDR was generally expansionary, flooding money into the market, in efforts to stimulate recovery. The result of this easy money policy was a rise in prices, a rise in production, and a rise in investment, all factors that helped the desired goal of stimulating economic activity and helping to lessen unemployment. As a result, by 1935, real weekly earnings in the US had regained 1929 levels. By 1939, real earnings climbed another 18 percent.
However, through 1940 the depression still held the US fully in its grasp. Businesses had grown somewhat confident and willing to invest in development, but most were wary of tying up liquid assets in investment, concerned that there might be a relapse into depression at any moment. Individuals were more confident in the stability of the bank system due to the backing provided by the Federal Deposit Insurance Corporation (FDIC) created in June of 1933, but there was still an element of distrust in dealings with the banks, which had failed in early 1933. It was not until the United States became embroiled in World War II that the Great Depression ended for good.
The United States Senate issued a declaration of war on Japan on December 8, 1941, and Germany declared war on the US on December 11. Industrial factories were at first slow to convert to military output, but by 1942, 33 percent of the economy was devoted to the war effort. Between 1941 and 1945 the US spent approximately $250 million a day in efforts to defeat the enemies. Federal expenditures were more than $320 billion over that period. That was two times as much money as the federal government had spent in its entire history up to that point. This influx of money stimulated an industrial boom and vanquished unemployment. By the end of the war in 1945, farm income had more than doubled. Corporate profits rose by 70 percent over their 1940 level, and the real wages of industrial workers increased by 50 percent. Perhaps most notably, the earnings of the bottom fifth of workers climbed 68 percent. Gross Domestic Product (GDP) nearly doubled, from $832 billion in 1940 to $1559 billion, measured in constant 1987 dollars. Living standards improved significantly. The Great Depression ended, swept away by the war.
There is no doubt that it took the United States' involvement in war to stimulate the full recovery of the economy. However, historians differ on the question of the extent to which the New Deal began, and set the stage for, full recovery. Some historians and economists criticize FDR's programs, claiming that the economy would have rebounded naturally more quickly without government intervention. They criticize the deficit spending that Roosevelt maintained throughout his terms in office. Others claim that Roosevelt kept the economy afloat with his social programs and spending.
Those who laud Roosevelt's efforts at recovery often claim that the success of his varied programs stemmed from the unifying fact that most of the New Deal programs (and especially those of the Second New Deal) were socialist in spirit. The programs' socialist aspects include the regulation of the banking system and other financial institutions, involvement in wage determination through the National Recovery Administration and the Fair Labor Standards Act, policies of moderate redistribution of wealth, and the granting of social welfare programs to the disadvantaged. Liberal analysts claim it was socialism in America and abroad, notably in Germany, which carried nations through and out of depression.
If it is true that FDR's policy decisions were helpful to the economy, there must be an explanation of the prolonged effects of the depression under the New Deal. Historians explain the lag in recovery by examining the psychology of the businessmen and investors. The argument is that despite the effectiveness and soundness of the New Deal programs, the precarious economy of the early 1930s was ever-present in the minds of those with the ability to stimulate economic activity. Steady price and wage decreases at the onset of the depression created the expectation of further cuts. Thus businessmen cut production in anticipation of declining profits, and let workers go in accordance. Investors, seeing these trends, saw no opportunities for profitable investment. The economy was stagnant. Despite FDR's attempts to inspire confidence in the leaders of industry, and the slowly improving economy, both investors and businessmen were wary of overextending their funds. They feared investing in research and development that might not pay off.
Even shortly after the beginning of the war, leaders of industry felt reluctant to switch over to war production, fearing that the war would end too soon for investments in the conversion of production to pay off. As a result, the army suffered significant shortages during the early months of the war. After it became clear that the war was deepening and that the United States government was willing to spend a great deal of money on the war effort, expectations changed. Investment expansion and recovery ensued, bringing an end to the misery of the Great Depression.
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