Causes Of The Great Depression Essay

Jan 01, 2024

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Causes Of The Great Depression Essay

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Causes of The Great Depression

Causes of The Great Depression. The Great Depression is one of the most misunderstood events in American history…. Some point to the Crash of the Stock Market as the cause of the Depression… Not true.

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Causes of the Great Depression

Causes of the Great Depression. Mote. Causes of the Great Depression. Depression - a period of low economic activity and wide-spread unemployment Underlying Causes or Fundamental Causes - develop and build up over a long time—it takes a long time before the effects are felt

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Causes of the Great Depression

Causes of the Great Depression. Warm-up. Why do you think the economy is a in a recession (slow down in the economy, loss of jobs) right now? . What was life like in the 1920s?. Lots of spending that people couldn’t afford. Rise of credit cards New technologies Consumerism.

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Causes of the Great Depression

Causes of the Great Depression. False Prosperity. Low taxes. Overproduction in farm machines, radios, cars, refrigerators. Too much consumer credit. Stock Market Crash. Too much buying on margin. Black Tuesday, October 29, 1929: over 16 million shares dumped. Banking Crisis.

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Causes of the Great Depression

Causes of the Great Depression. Causes of the Great Depression. Task: Identify and explain the causes of the Great Depression; be able to provide specific content related to each cause.

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Causes of the Great Depression

Causes of the Great Depression. SSUSH 17.a. Twenties Prosperity . During the 1920s, many Americans believed that the U.S. was a place of unlimited growth, opportunity, and achievement. Americans were earning more money than ever – national income rose from $61 billion to $87 billion

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Causes of the Great Depression

Causes of the Great Depression. 1. A Depression is:. One phase in a larger business cycle Characterized by a vicious cycle of: Low consumer/trust/confidence – low demand for goods Low prices and low profits – layoffs and rising unemployment

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CAUSES OF THE GREAT DEPRESSION

CAUSES OF THE GREAT DEPRESSION. Election of 1928 Hebert Hoover wins in a landslide. Economic danger signs. UNEVEN PROSPERITY. Economic danger signs. BUYING ON CREDIT.

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Causes of the Great Depression

Causes of the Great Depression . Chapter 17, Section 1. Prosperity Hides Troubles. Throughout the 1920s, the U.S. had experienced economic prosperity with two Republican presidents.

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Causes of the Great Depression

Causes of the Great Depression. #1 Stock Market Crash of 1929. Black Tuesday (Oct 29, 1929) symbolized the start of The Great Depression Within 2 months, investors had lost an estimated $40 billion It took 27 years for the market t o return to pre-crash numbers . #2 Bank Failures.

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Causes of the Great Depression

Troubles of the 30s. Causes of the Great Depression. The Stock Market Plunges. People who bought stocks on margin (on credit with 10% down) were now being asked to pay brokers the money they still owed.

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Causes of the Great Depression

Causes of the Great Depression. Disparity of Wealth. Stock Speculation. During much of the 1920s, the market was doing well People were looking to get rich quick Bought on margin (borrowed money to invest) October, 1929 – Stock Market Crashes. Stock Speculation (cont.).

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Causes of the Great Depression

Causes of the Great Depression. Election of 1928. Coolidge decided not to run again The Candidates Herbert Hoover: prosperity of the 1920’s was a major contribution to his landslide win Alfred E. Smith: endured a slandered campaign because he was Catholic . Election of 1928. Campaign Issues

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Causes of the Great Depression

Causes of the Great Depression. 8-6.3. I. Agriculture Decline. During WWI, SC made money from cotton and crops. When the war ends, the prices drop. The boll weevil destroyed much of the cotton. This actually helped one year because it lowered the supply.

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Causes of the Great Depression

Causes of the Great Depression. Agricultural Recession: Farmers ¼ of workforce Oversupply  falling prices Debt  Bank foreclosures Buying on Margin: Bought stocks with borrowed $ No collateral Still happens today. “On Margin”. Laissez Faire Government Policy

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Causes of the Great Depression

Causes of the Great Depression. Overview. Crash of 1929 is considered the start of the Depression in the US Worldwide, effects of the Depression were caused by broader factors, including the reparations of WW1 unchecked speculation trade tariffs made to protect economies

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CAUSES OF THE GREAT DEPRESSION

CAUSES OF THE GREAT DEPRESSION. HIGH TARIFFS AND WAR DEBTS. CAUSES OF THE GREAT DEPRESSION. UNEVEN DISTRIBUTION OF WEALTH. OVER PRODUCTION. AGRICULTURE. Historians disagree as to the causes of the Great Depression. Most scholars would include:. STOCK MARKET CRASH AND

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CAUSES OF THE GREAT DEPRESSION

CAUSES OF THE GREAT DEPRESSION. CAUSES OF THE GREAT DEPRESSION. Unequal Distribution of Wealth High Tariffs and War Debts Overproduction in Industry and Agriculture 1928 Presidential Election Farm crisis Federal Reserve Monetary Policy Stock Market Crash and Financial Panic.

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Causes of the Great Depression

Causes of the Great Depression. How did the prosperity of the 1920s give way to the Great Depression?.

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Causes of the Great Depression:

Causes of the Great Depression:. Canada’s Weakening Economy. Economic Depression (1929-1939) Causes: Characteristics:. Economic Recovery (1924-1929) Causes: Characteristics:. Economic Recession (1919-1924) Causes: Characteristics:. Economic Recession (1919-1924) Causes :

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Causes of the Great Depression

Causes of the Great Depression. Economics of the 1920’s. Harding, Coolidge, and Hoover Administrations are good to business Believe that business will regulate itself Laissez Faire Return to business practices like those prior to the Progressive Period (Corporations/Monopolies).

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Causes of the Great Depression

Causes of the Great Depression. The 1920s were a decade of consumer spending & the economy looked healthy on the surface: Income did increase in the 1920s, but there were some severe problems with the U.S. economy

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