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The great depression in Canada causes
The great depression in Canada causes
Great depression in canada 1930
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The Great Depression was a desperate time for people living in North America during the 1930’s as the unemployment rate was growing at alarming rates. Prime Minister R.B. Bennett and his Conservative Party created a new policy called The Unemployment Relief Act, which would help fellow Canadians that are unemployed and unemployment relief projects for those seeking work. During this time, Canadians were experiencing tremendous hardships as businesses all over were off employees and shutting down their factories. One particular man, Ralph A. Mackenzie, voiced his grievances in a letter, directed to Prime Minister Bennett, informing him of the difficult time he and his family were enduring trying to make ends meet. Despite the Canadian government’s …show more content…
best efforts, The Unemployment Relief Act fell short of its goals and left a lot of Canadians starving and out of work. Just shortly after being elected as Prime Minister, Bennett held a session of Parliament to address the escalating unemployment situation.
On September 22, 1930, the creation of The Unemployment Relief Act was the result, which “provided 20 million dollars for unemployment assistance.” The money was designed to improve local infrastructure, create relief projects, grant aid to provinces and municipalities for unemployment relief purposes, and reimbursing those provinces and municipalities involved with unemployment relief projects. The federal government claimed that “unemployment relief was a provincial and municipal responsibility.” In addition, the Act was to help in the product distribution of materials and goods across the country and pay for the majority of the shipping costs. The Act did have an expiration date clause, which stated that if any “portion if the said sum of twenty million dollars, remaining unexpended or unappropriated for the purposes of this Act on the thirty-first of March, 1931, shall thereupon lapse.” The Act stood as a temporary solution in hopes that this would bring Canada out of the Great Depression and the unemployment crisis that was sweeping the nation. The underestimation of the situation, lack of understanding, and failure to execute were the main contributing factors of why the Unemployment Relief Act was an overall …show more content…
failure. By April 1, 1931, the unemployment situation in Canada took a turn for the worse and families all across the country were in dire straits.
Thousands of Canadians reached out to Prime Minister Bennett voicing their displeasures and concerns during this most difficult time. Ralph A. Mackenzie, a mechanic with a family of seven children, reached out to Bennett in an attempt to inform him of their poor living standards and the shortcomings of the Civic Relief Department, created by the Unemployment Relief Act. Mackenzie explained how his children were suffering from malnutrition and that he didn’t have enough money to properly feed and clothe his family. Even when Mackenzie would seek the aid of the Civic Relief Department, an investigator would personally show up to his home and determine if the application for relief was valid. Throughout his letter, Mackenzie mentioned how ample of a mechanic he was and that he was open to any form of work, as long as it was full time employment. The situation was similar, or arguably worse, in the United States and several Americans would come to Canada seeking work, much to the disapproval of Mackenzie, exclaiming “it seems pretty tough if we can’t get a job, a steady one while we see Americans come over and fill jobs that Canadians should have.” Mackenzie was disgusted when he learned that an incompetent coworker of his, named Mr. Ruggles, was kept on while Mackenzie and several others were laid off, despite Mackenzie having a family of
eight dependents while Ruggles had just one. Even more frustrating was when Mackenzie was told that some employers were not accepting any applications, except those from the state of Kansas in the United States. In Mackenzie’s eyes, the Unemployment Relief Act failed to provide him with regular employment and sufficient relief aid for his family from the Civic Relief Department. The Unemployment Relief Act was supposed to be the one way ticket out of the Great Depression and put Canadians back to work. Unfortunately, the Act was a poor attempt by Bennett and his Conservative government to bring Canada out of this unemployment crisis. Six months was not enough of time for this kind of undertaking to really make the impact Bennett was looking for. Ultimately, the Act was a failure and the federal government would have to make more desperate measures as the Great Depression set in and the unemployment lines grew and grew. The underestimation of the situation, lack of understanding, and failure to execute were the main contributing factors of why the Unemployment Relief Act was an overall failure. (Brou & Waiser) (Grayson & Bliss)
By 1936 there were an estimated 35,000 unemployed veterans in depression-era Canada. In response to the need implied by this statistic, the government established the Veterans’ Assistance Commission, which sought to equip unemployed veterans for jobs and provide at least some of them with work.
During the Great Depression of the 1930's, Canada's Prairie provinces suffered more than any other area in Canada. This time frame brought for the farmers many years of droughts and grasshopper plagues, as each year got worse without any rainfall whatsoever. The impact of the Great Depression on the Prairie provinces was devastating and it's impact on the region was social, political and economical. During this period unemployment reached high levels, prices of products were falling and purchasing power was getting very weak. To try to help out unemployed people, mostly men, the government introduced relief camps.
During the worst depression years in Canada, there were many people who tried tirelessly to get Canada out of the crisis she was in more quickly and efficiently. William Aberhart and his group of supporters had a plan that they were sure could help and even end the depression and its horrible effects. His theory was if a twenty-five dollar cheque was given monthly to each family, it would alleviate their financial fears and jumpstart the economy. Having confidence in his idea, he went to share it with both political parties. Unfortunately, both parties rejected the idea; saying money would only become more worthless. Even after running and being elected as Premier of Alberta, the resolution was not accepted because of the overwhelming responsibility towards the federal government.
However, for the worst affected, the most difficult effect on morale must have been the lifelong memory of seeing their children and family suffer, and having no power to change this. For the lack of power to change the future is the exact opposite of the ‘American Dream’. References: Prosperity, Depression and The New Deal, Peter Clements, 2001, Hodder and Stoughton, London Letters To The Roosevelts, various authors, date and publisher unknown An Editor Loses His Job In The Great Depression, Hard Times: An Oral History of the Great Depression, Studs Terkel, 1978, Pantheon Books. Brother, Can You Spare A Dime? , Jay Gorney, 1932, Warner Bros. Music The Great Depression, Mc Elvaine R., 1984, Times Books, New York
On the day of October 29, 1929 the Great Depression had begun. This was due to the worth of the New York stock market falling intensely. The Great Depression was a time when Canadians suffered extraordinary levels of poverty due to unemployment. It shaped Canadian’s political views, and also their views about their country and role of the government. Canadians joined together in various new political parties, labor groups and other organizations that represented detailed regional, economic or political interest. Canadians scrambled through the crisis with a makeshift blend of private and public charity. Private Citizens in wealthier provinces recognized the dilemma of Saskatchewan and sent hundreds of carloads of fruit, vegetables and clothing westward. This showed that Canada is a crew of kind and supportive individuals.
The prime minister at that time, Mackenzie King, was unprepared to deal with the crisis at hand. His thoughts were that the depression was only a fluke, and that given time, the economy would prosper once more. King never answered the pleas for aid by his citizens, and told ...
There were two major political consequences of the Great Depression. The first was that new political parties were formed in Canada. The new political parties were the Co-operative Commonwealth Federation (CCF), the Social Credit Party, and the Union Nationale (UN). The CCF was founded by J.S. Woodsworth and believed in the establishment of minimum wage, accident and sickness insurance, old age pensions and unemployment insurance. The Social Credit Party was founded by William Aberhart. He believed that governments should issue money to everyone so that they could buy goods in a form of “social credits”. In the 1935 provincial elections he took 56 of 63 seats giving him a total victory. The UN was founded by Maurice Duplessis due to the union of Action Liberale Nationale and the Conservative Party. They promoted the traditional values of the Catholic Church and believed in a rural lifestyle. The second political consequence was a conflicted relationship between the federal and the provincial governments. The depression showed the federal government that provincial governments did not have enough money to carry out significant projects.
There was a Great Depression in the 1930's. During this time President Hoover was trying to fight against unemployment. The percentage of unemployed people rose 25 percent during this time. With unemployment continuing to rise, President Hoover urged congress to provide up to 150 billion dollars for public works to create jobs.
During the 1920’s, America was a prosperous nation going through the “Big Boom” and loving every second of it. However, this fortune didn’t last long, because with the 1930’s came a period of serious economic recession, a period called the Great Depression. By 1933, a quarter of the nation’s workers (about 40 million) were without jobs. The weekly income rate dropped from $24.76 per week in 1929 to $16.65 per week in 1933 (McElvaine, 8). After President Hoover failed to rectify the recession situation, Franklin D. Roosevelt began his term with the hopeful New Deal. In two installments, Roosevelt hoped to relieve short term suffering with the first, and redistribution of money amongst the poor with the second. Throughout these years of the depression, many Americans spoke their minds through pen and paper. Many criticized Hoover’s policies of the early Depression and praised the Roosevelts’ efforts. Each opinion about the causes and solutions of the Great Depression are based upon economic, racial and social standing in America.
In the hype after World War 1, I doubt anyone would have foreseen an immense depression coming. As it turns out, that's what happened. Canadians all over Canada had to endure the catastrophes, and I believe Canadians responded ineffectively to the challenges of the Great Depression. The government responded ineffectively by increasing the chaos. As the Canadian government aggravated trek leaders by arresting them, trekkers began violently rioting. Furthermore, Individual Canadians during the Great Depression were inept. Many civilians violently protested. They fought the police and RCMP, broke windows, and turned over cars, creating further problems. Still, political parties did influence many Canadians. Like the Social Credit Party, they tried
...rnment became active in the lives of businessmen and workers alike. Mothers received a family allowance. War veterans received money also. Unemployment insurance was created and any man out of work could apply for it. By 1936 some parts of Canada began to recover from the Great Depression. In Montreal Public Holding Projects were underway, and the Trans Canada Airway gave jobs to men. For Canada, the real end of the Great Depression was caused by the start of World War II. The Great Depression lasted ten years and was followed by five years of World War. During the war the need for materials was massive. Chemical factories, aluminum works, and lumber processing all began to employ men. People could begin to buy more than they had during the Great Depression; therefore the manufactures could produce more. Prairie Provinces also benefited because the markets for wheat had began to recover.
The Great Depression was not just a little event in history, hence the word “great”, but a major economical setback that would change Canada, and the world, forever. The word “great” may not mean the same thing it does now; an example of this is the ‘Great’ War. These events were not ‘good’ or ‘accomplishing’ in any way, quite the opposite, but in those times it most likely meant ‘big’. What made it big are many factors, both in the 20’s and 30’s, which can be categorized into three main points: economics, politics and society. With all these events, compressed into ten years, this period of economic hardship of the 1930’s truly deserves the title the “Great Depression”.
When the Great Depression occurred right around 1930, William Lyon Mackenzie King and his government did not respond strongly . Although the depression was evidently obvious, King believed that the economic crisis was temporarily and only patience was needed to overcome it . It took a while for King to realize how the depression was affecting the politics . King believed that welfare was a provincial responsibility and no one else’s . During the depression, all provinces wanted to increase the tax in Ottawa, but he did not understand the concept of it since other provinces were going to use the tax for themselves. King thought that it was necessary for the provinces to take initiative and increase their taxes . As the depression hit rock bottom many Canadians were unemployed. As Canada was changing right in front of his eyes, King’s perspectives did not show change. In one of his speeches he declared, “I submit that there is not evidence in Canada today of an emergency situation which demands anything of that kind” . King did not face with depression in the most orderly matter but he was a great Liberal leader, he kept the Liberals together when the Conservatives were falling apart and new political parties were developed to compete for the votes . During the depression, King held an election that was one of the most important events that occurred in...
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:
The economic problems caused by the Great Depression that the Canadian governments sought to solve were most significantly the stagnating growth of the economy; the foreclosure of farms; and the need for relief due to high unemployment. The responses to these problems varied between McKenzie King and Bennett, with McKenzie King originally ignoring the existence of a crisis. Their successes were also varied, although minimal, with World War Two being the main cause of Canada being lifted out of Depression.