Great Depression Scenarios

397 Words1 Page
bulb-icon

Recommended: Stock market crash 1929 introduction

The Great Depression was caused by many situations with many scenarios. One major scenario was the Stock Market Crash of 1929, this was one of the major causes. Another is when the banks failed, this stopped the people from collecting their money so they could not get the goods they needed. A third scenario that kinda leads to the Great Depression is drought conditions, this led to people not being able to pay their taxes. There are so many small and major scenarios that could have or did lead to the Great Depression. Banks failing was a major too, people tend to rely on money a lot so this would have a major impact.

Free Exchange is a newer issue in economies because its lowering interest rates and slowing the economy. When interest’s

Show More
Related

  • Hooverville Dbq

    683 Words  | 2 Pages

    The Great Depression was most likely the most severe and enduring economic crashes in the 20th Century (Source 1). That included a quick drop in the supply and demand of goods and services along with a big rise in unemployment (Source 1). Many things were the cause of the Great Depression, one is the U.S. stock market crash (Source 1). And two is the widespread failure in the American bank system

    Read More

  • The Great Depression in Canada

    885 Words  | 2 Pages

    There were many causes for the Great Depression. The first and one of the largest was the stock market crash. Before 1929 the stock market was flourishing and everyone wanted to buy stocks. People were so confident in the stock market that they were buying “on margin”, which meant that brokers would lend them 10% of the money they invested (D1). The problems began when stocks were being over speculated. When people began to realize this, they began selling there shares. On October 29, 1929, 16 million shares were sold (D9). This day became known as “Black Thursday”, the day the stock market crashed (D12). The second reason was the overproduction of goods. Factories had already produced too many goods and now there was no demand for them. The government began to raise tariffs to protect Canadian industries but things only led downhill from there.

    Read More

  • President Herbert Hoover As The Cause Of The Great Depression

    733 Words  | 2 Pages

    Some say that the great depression was caused partially by social democracy and planned economies. And although this could be true, it originally started from debts from World War I, and of course the stock market crashing in 1929.

    Read More

  • The Great Depression and John Steinbeck's The Grapes of Wrath

    1699 Words  | 4 Pages

    A major cause of the Depression was that the pay of workers did not increase at all. Because of this, they couldn't afford manufactured goods. While the factories were still manufacturing goods, Americans weren't able to afford them and the factories made no money (Drewry and O'connor 559). Another major cause related to farmers. Farmers weren't doing to well because they were producing more crops and farm products than could be sold at high prices.

    Read More

  • Essay On The Causes Of The Great Depression

    827 Words  | 2 Pages

    The occurrence of the Great Depression was an inevitable economic disaster that was caused by a variety of reasons and events that happened in the U.S. and across the world. The lack of diversification was one of the main causes of the Great Depression as the dependence on only certain industries like the automobile industry began years before; and because of the prolonged success of such industries, their demise could not have been predicted. World War I was an event that had a major impact on the Great Depression because of the complexity of the international debt owed to the U.S, and the decline of international trade. In addition, the failure of the bank system and the reckless investments that banks, businesses and the American public made contributed to the manifestation of the Great Depression.

    Read More

  • The Great Depression and the New Deal

    986 Words  | 2 Pages

    The Great Depression was in no way the only depression the country has ever seen, but it was one of the worst economic downfalls in the United States. As for North America and the United States, the Great Depression was the worst it had ever seen. In addition to North America, the Depression greatly affected Europe and other various countries throughout the world significantly during the 1920’s and 1930’s. The Great Depression was caused by the collapse of the Stock Market, which happened in October of 1929. The crash exhausted about forty percent of the paper values of common stocks. It was the worst depression due to the fact that at the time of the Great Depression the government involvement in the economy was higher than it had ever been. A unique government agency had been set up exclusively to prevent depressions and their related troubles for instance bank panics. All of ...

    Read More

  • The Great Depression

    944 Words  | 2 Pages

    Great Depression was one of the most severe economic situation the world had ever seen. It all started during late 1929 and lasted till 1939. Although, the origin of depression was United Sattes but with US Economy being highly correlated with global economy, the ill efffects were seen in the whole world with high unemployment, low production and deflation. Overall it was the most severe depression ever faced by western industrialized world. Stock Market Crashes, Bank Failures and a lot more, left the governments ineffective and this lead the global economy to what we call today- ‘’Great Depression’’.(Rockoff). As for the cause and what lead to Great Depression, the issue is still in debate among eminent economists, but the crux provides evidence that the worst ever depression ever expereinced by Global Economy stemed from multiple causes which are as follows:

    Read More

  • Homeless People During The Great Depression

    549 Words  | 2 Pages

    The Great Depression led by many problems and caused many more. This is the time that many people were left with nothing, all because the economy had failed drastically. Americans lost their jobs, homes, and even family. Homelessness and unemployment were two of the biggest impacts the Depression had after all. The economy destroyed itself and everything else; it became a global issue and affected so much.

    Read More

  • Great Depression Dbq Essay

    765 Words  | 2 Pages

    Weize Tan History 7B 3/09/14. Chapter 23 1. What is the difference between a. and a. What were some of the causes of the Great Depression? What made it so severe, and why did it last so long? a.

    Read More

  • The Great Depression Research Paper

    2275 Words  | 5 Pages

    The US government’s role in the Great Depression has been very controversy. Different hypothesizes argued differently on the causes of the Great depression and whether the New Deal introduced by the government and President Roosevelt helped United States got out of the depression. I would argue that even though not the only factor, the US government did lead the country into the Great Depression and the New Deal actually delayed the recovery process. I will discuss five different factors (stock market crash, bank failure, tariff and tax cut, consumer spending and agriculture) that are commonly accepted to cause the depression and how the government linked to them. Furthermore, I will try to show how the government prolonged the depression in the United States by introducing the New Deal.

    Read More

  • The Pros And Cons Of The Great Depression

    720 Words  | 2 Pages

    The Great Depression was due to the stock market crashing and the fear of risking what was left and decided to but a pause on any economic activity. Throughout this time period we elected two Presidents, Herbert Hoover and Franklin D. Roosevelt. Throughout the Depression Roosevelt had the most effective policies than Hoover.

    Read More

  • America's Debt Structure

    711 Words  | 2 Pages

    Several factors contributed to the Great Depression. A few being maldistribution of purchasing power, the credit structure of the economy and America's debt structure.The Great Depression can be considered inevitable due to the fact that there was no primary reason for the cause of the Great Depression, but many components played a role.

    Read More

  • Consumer Culture And The Great Depression

    487 Words  | 1 Pages

    The Great Depression was a time when unemployment rates increased, people lost their life saving, and banks went on a crisis. The primary reason why this happened is because of consumer culture. Borrowing money was easier than ever in the 1920s. Buyers could easily pack a small percent of the stock price and borrow the rest from a broker. Consumers were buying goods at a rate higher than their income was expanding (6). However, as the market was rising, stockers were happy to lend money to anyone. The methods used to purchase items caused the stock market to collapse. Borrowing money became risky when starting a business because you could only hope for profit. However, purchasing on layway and going into debt was becoming acceptable (6). This encouraged the continuation of these methods which lead to something greater. Consumer culture occurring in the 1920s is the primary reason why the Great Depression occurred. Consumers were using purchasing methods such as buying on the margin and layaway which caused the stock market to crash in the 30s.

    Read More

  • Great Depression Causes

    693 Words  | 2 Pages

    Most believe that the Great Depression is a direct result of the Stock Market crash in 1929 when in fact it was merely a trigger. However, there were several more reasons that ultimately led to the depression. Many Americans, mainly of the middle and upper classes felt very euphoric due to the recent success of the nation’s economy. This lead to many hard working Americans to invest in too risky, wilder investments. Three additional principal explanations for the collapse of Wall Street and the American economy included international economic despairs, poor income distribution, and the psychology of public confidence (site textbook). A healthy economy could easily recover from such woes, therefor it is ridiculous to say the stock market crash was the single cause of the Great Depression.

    Read More

  • The Causes Of The Great Depression

    1180 Words  | 3 Pages

    The Great Depression was a period of first-time decline in economic movement. It occurred between the years 1929 and 1939. It was the worst and longest economic breakdown in history. The Wall Street stock market crash started the Great Depression; it had terrible effects on the country (United States of America). When the stock market started failing many factories closed production of all types of good. Businesses and banks started closing down and farmers fell into bankruptcy. Many people lost everything, their jobs, their savings, and homes. More than thirteen million people were unemployed.

    Read More

More about Great Depression Scenarios

Open Document