Great Depression Causes

Words: 852
Pages: 4
Open Document
The Great Depression was the worst economic depression in the history of the United States of America. It caused many Americans to face and experience hard times and hardships during this time. This major event occurred on October 24, 1929 (Great Depression, 2009). This event lasted for many years. The Great Depression caused many people lost many things. Furthermore, the American people lost their job, home and many other valuable things that were important to them. There were many things that led to the causes of the Great Depression. These causes were due to the crashing of the Stock Market, trouble with the banking systems, and the drought conditions. These were factors that caused the Great Depression (Great Depression, 2009). The causes …show more content…
After he was in control, Hoover gave the American people the assurance that everything will be fine. For instance, he stated, “I have no fears for the future of our country / It is bright with hope,” (Tindall & Shi, 2007). Hoover created many programs to help fix the business of agriculture. There were many problems with the agriculture. On the other hand, Hoover offer suggestion in dealing with this problem .For one, he pushes for higher tariffs on the farm products and cooperatives marketing. There was an agriculture act that was even passing to help with this problem. This act was called the Agricultural Marketing Act (Tindall & Shi, 2009). The purpose of this was to support and help the farming industry. But, little did one know, this plan would only be the start of the Great …show more content…
For one reason, the Stock Market crashed on Tuesday of October 29, 1929. This was about the worse day in the history of United States of America. According to Tindall & Shi, the brokers reported a sales 16. 4 million shares (at the time the trading of 3 million shares was a busy day) (Tindall & Shi, 2009). Many brokers were left to share stocks that they had from buyers who didn’t pay like they supported to. The stock continued to take turned for the worse. Stockholders lost a lot of money. This caused a major problem in the economy. Many people lost their jobs which caused a rise in the unemployment. Not only has that, farmers begun to have more problems as well. Many banks closed its doors due to people losing their saving and just wasn’t able to keep money in the bank. Furthermore, the Government policies had a big influence on the Great Depression
Show More

Related Documents: Great Depression Causes

Causes Of The Great Depression

Could the great depression happen again? The hopes of any human in their right mind would be no. The major questions surrounding an economic depression of this proportion is first what causes it, second how can we limit the negative affects it may have on the worlds economy and lastly how can we quickly recover from an economic depression? How did the recessionary gap cause this and would it be better to have an inflationary gap instead? A recessionary gap is defined as real GDP being lower…

Words 625 - Pages 3

Great Depression Causes

1929, the New York Stock Exchange collapsed, falling over 12% in value . The subsequent lack of confidence in the markets led to a worldwide economic disaster known as the Great Depression. The concomitant rise in unemployment, drop in wages, and GDP stagnation left people around the world jobless and starving . The depression undermined the priority of diplomacy, sabotaged previous attempts at global reconciliation, and engendered the rise of far right extremist groups. Nationalist factions further…

Words 2248 - Pages 9

Great Depression Causes

called the Great Depression. There were various causes for it, and it impacted much of the world. There were great efforts made to resolve the issues that came with the Great Depression. The whole world struggled with this circumstance, not to mention the United States of America, Brazil, and Canada. The United States of America set itself up for the Great Depression. The expression ‘too good to be true’ was precisely what happened to the people during this time. Before the Great Depression, everything…

Words 1896 - Pages 8

Causes Of The Great Depression

First of all, The Great Depression became one of the most extreme monetary scenarios the world had ever seen. It all commenced for the duration of overdue 1920’s and lasted till 1930’s. President Hoover also 31st president of the United States did not understand the complexity of the true damage that was coming in these coming years. Although the beginning of melancholy turned into United Sates with United States Economy being fantastically correlated with the international economic system, the…

Words 309 - Pages 2

Great Depression Causes

Causes of The Great Depression Fundamental cause – contraction in spending i.e. aggregate demand. Decline in production as inventory level at manufacturers and merchandisers increased. Transmitted to rest of the world mainly through the gold standard. Variety of other factors also fuelled the downturn in various countries. Major causes are discussed here. Stock Market Crash Decline in output occurred in the U.S. during the summer of 1929. Stemmed from tight U.S. monetary policy aimed at…

Words 676 - Pages 3

Great Depression Causes

would soon change. Farmers were going into debt, and as a result started to grow more crops than they could sell. At the end of the 20’s, things would take a major turn. America would enter the Great Depression, the longest period of economic recession America had ever seen. The causes of the Great Depression were speculation and installment buying, income…

Words 907 - Pages 4

Causes Of The Great Depression

falling apart. The stock market crash of the late 1920s is what began a series of events that flung the United States into its most devastating economic crisis of all time. It would be a lie to say that the stock market crash as the only cause of the Great Depression. There were numerous structural fall backs in America’s economic system. The banks were…

Words 805 - Pages 4

Causes Of The Great Depression

The Great Depression started briefly after the stock market crash of 1929. By 1933, 25% of Americans were out of work. Many Americans lived in poverty. People invested their life’s savings into stocks, and now they had nothing. Men couldn’t find work, couldn’t get paid, and couldn’t support their families. The number of homeless people rose like never before. Consumer’s stopped buying goods, therefor factory income declined, thus making even more people out of jobs. Banks failed, businesses failed…

Words 338 - Pages 2

Causes Of The Great Depression Essay

Causes of the Great Depression The Great Depression made people panic It was a devastating time that begun in 1929 and lasted till 1939. The country’s economy plummeted dramatically during this period, and lot of deaths happened from starvation and diseases. Also, the country was affected because the great depression had spread throughout the trade market. The main cause of the Great Depression is unknown, but WW1, the stock market crash, and the Dust Bowl all contributed to the Great Depression…

Words 482 - Pages 2

Causes of the Great Depression Essays

The Great Depression was the worst economic time in the United States because it affected the lives of millions of Americans. It was caused by many different things. It put many workers out of jobs and drastically increased the number of homeless people. Both banks and businesses failed. There were many ideas on how to fix the Great Depression, and liberals and conservatives and different ways of handling it. There were many different causes of the Great Depression. One of the biggest causes was…

Words 966 - Pages 4