The Great Depression In The 1920's

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The Great Depression The great depression in the 1920s was a direct result of peoples’ ignorance and greed of that time. The great depression was the worst economic down fall to ever hit the united states and the rest of the industrialized world. The great depression did not have a single source to blame there was a multitude of reasons why it happened. The main reason why the great depression happened was because of the mentality of the average consumer and businessman in the 1920s. the ignorance and greed that was displayed then is happening again now in modern day life. Buy now and pay later. Get rich quick and work less. The 1920s was considered the party age, after winning ww1 money was abundant, this led to consumers having the opportunity …show more content…

Stocks were cheap and considered a good investment, this led to millions of Americans pouring their money into stocks. The stocks were so affordable that anyone could buy a piece and have a chance of making a large sum of cash. The writers of history.com say that the reason why the stock market crashed was because it expanded too rapidly and couldn’t be controlled (“The Great Depression” par. 3). The stock market was expanding at a rapid rate, stocks were becoming more expensive than their actual worth, and this led to a major decline in customers buying stock shares. History.com states that the stocks prices were much higher than their actual value, they became a bad investment (“Stock Market” par. 2). Wages were also starting to decline, and unemployment had already been on the rise. Consumers didn’t want to invest into the stock market anymore. Workers were getting laid off and struggling to even find the lowest paying of jobs. People had to be smarter with their money and didn’t have the money to waste on over priced stocks. According to the writers of history.com people stopped buying stocks and they began to question where their money was going (“The Great Depression” par. 6). Investors began to speculate whether they’d get their money back, they lost trust in the stock market. History.com states that a wide spread panic caused many investors to trade their shares by the millions on October …show more content…

Herbert Hoover the president at the time, made Americas situation worse despite his efforts to fix it. The writers of history.com say that Hoover refused to directly help citizens and instead helped banks and big business believing the rest would work its self out (“The Great Depression” par. 10). Franklin D. Roosevelt’s election was the turning point, he inspired Americans and got to work right away. Roosevelt began creating programs to fix the economy immediately after entering the white house. History.com states that he directly started to help citizens by setting up programs to provide jobs, housing, and food for struggling workers and families with his plan he called the “new deal” (“FDR the Great” par. 8). FDR picked his battles wisely and led the U.S. out of the great depression. Roosevelt entered WW2 to boost the economy by joining Great Britain and creating more jobs in factories with mass production of weapons and supplies for the war according to history.com (“FDR the Great” par. 13). FDR was an American

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