THE BUSINESS CYCLEOR, WHY OUR GENERATION IS SCREWED…

STOP!WANT TO MAKE STACKS OF CASH?

OF COURSE YOU DO!

TEAM UP!TRUMP’S HAIR

O’LEARY’SBALD SPOT

WOLF OF3E AVE

BELIEBERS

Ann Emie Jess MéganeMiguel Tyler Tristan KatiaShawn Roby

THE GAMEIn this simulation you will take part in stock trading. The stocks being offered are from real companies that existed in the 1920’s.OBJECTIVE: Your aim as investors is to make as much money (or profit) as possible. To do this, you will need to watch the market prices and buy shares of stock when the price is low and then sell them when the price is high.

• Your team has received $5000 to start.

• You may invest any amount of money in one company, or you may invest in a combination of companies.

WHAT IS A STOCK?• A stock (also known as equity) represents

a share in the ownership of a company.• When you purchase a company’s stock,

you become a part-owner of that company – a stockholder or shareholder.

• A stock represents your claim on the company’s assets and profits.

WHY DO COMPANIES SELL STOCK?• Companies sold stocks (shares) of their company

as a way of funding expansion. • Many new businesses in the 1920s did this in order

to keep up with high demand for their products.

If you owned a business and needed to make $100,000 to afford expansion you could sell shares to raise the money. If you sold 10,000 shares at $10 a share you now have $100,000.

SOME 1920s COMPANIES Ford M

otors

Canada C

anners

Winnipeg Electric

Bell Telephone

Canada C

ement

Massey H

arris

Montreal Pow

er Corporation

Canadian Pacific R

ailway

Steel Com

pany of Canada

Distillers-Seagram

s

INSTRUCTIONS• You have been given $5000 to begin buying stocks.• There are a limited number of stocks for each company. First come first

served.• Once stocks are bought, they can only be sold to another team. • You may borrow extra money after the first round.• Money can be borrowed on a 10% margin, meaning you only have to have

10% of the cash needed to buy the stocks. • You may offer more money than the price listed on the Value of Shares sheet.• Stock Broker’s are the only members of the team who can purchase and sell

stocks. • All stock sales and purchases must be made through the Stock Market

Commissioner. • The Stock Market Commissioner will close each round after a maximum of 7

minutes of trading or when the trading ceases.

TEAM ROLESSTOCK BROKER: Does all of the yelling and negotiating with the other teams.

RECORDER/MATH PERSON: Calculates the value of the stocks and how much the team is able to spend.

TEAM STRATEGY TIMETake 1 minute to quickly discuss strategy with your team.

Are you going to be aggressive traders? Or play it safe?

Remember the team with the most money at the end of this simulation wins!

Values of Shares in Companies, 1922

Name of Stock

Initial Price 1922

# of shares Total 1922

Ford Motor 10 100 1000Canada Canners

5 50 250

Winnipeg Electric

25 50 1250

Bell Telephone

50 10 500

Canada Cement

4 100 400

Massey-Harris 20 30 600Power Corp. 5 100 500Canadian Pacific Rail

20 10 200

Steel Co. 15 10 150Distillers Seagrams

10 15 150

Totals 5000

Values of Shares in Companies, 1924

Name of Stock

Share Price 1924

# of shares Total 1924

Ford Motor 15 100 1500Canada Canners

5 50 250

Winnipeg Electric

35 50 1750

Bell Telephone

55 10 550

Canada Cement

35 100 3500

Massey-Harris 40 30 1200Power Corp. 10 100 1000Canadian Pacific Rail

25 10 250

Steel Co. 20 10 200Distillers Seagrams

15 15 225

Totals 10425

Values of Shares in Companies, 1926

Name of Stock

Share Price 1926

# of shares Total 1926

Ford Motor 30 100 3000Canada Canners

6 50 300

Winnipeg Electric

40 50 2000

Bell Telephone

60 10 600

Canada Cement

40 100 4000

Massey-Harris 60 30 1800Power Corp. 8 100 800Canadian Pacific Rail

30 10 300

Steel Co. 25 10 250Distillers Seagrams

16 15 240

Totals 13290

Values of Shares in Companies, 1928

Name of Stock

Share Price 1928

# of shares Total 1926

Ford Motor 50 100 5000Canada Canners

20 50 1000

Winnipeg Electric

50 50 2500

Bell Telephone

70 10 700

Canada Cement

66 100 6600

Massey-Harris 75 30 2250Power Corp. 6 100 600Canadian Pacific Rail

50 10 500

Steel Co. 50 10 500Distillers Seagrams

100 15 1500

Totals 21150

Values of Shares in Companies, 1929

Name of Stock

Share Price 1929

# of shares Total 1929

Ford Motor 2 100 200Canada Canners

70 50 3500

Winnipeg Electric

20 50 1000

Bell Telephone

3.50 10 35

Canada Cement

1 100 100

Massey-Harris 5 30 150Power Corp. 38 100 3800Canadian Pacific Rail

6 10 60

Steel Co. 5 10 50Distillers Seagrams

75 15 1125

Totals 10020