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Canada and the Great Depression

Canada and the Great Depression. Political Reactions. William Lyon McKenzie King. Liberal Prime Minister during most of the 20s Believed the Depression was a “temporary slump” and that the economy would correct itself if left alone

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Canada and the Great Depression

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  1. Canada and the Great Depression Political Reactions

  2. William Lyon McKenzie King • Liberal Prime Minister during most of the 20s • Believed the Depression was a “temporary slump” and that the economy would correct itself if left alone • He did Balance the Budget, Lower Taxes, increase trade with England and Decrease Tariffs • Lost the 1930 election mainly due to the “5 cent speech”

  3. R.B. Bennett • Won the election of 1930 (Conservative) on the promise of “solving” the Depression with government intervention • Rich and Successful business man • Raised taxes and provided subsidies (money) for small business • Bennett also gave out his own money to assist needy families

  4. Bennett’s Government Part 1:Raising Tariffs • A tariff is a tax on imported goods • By highly taxing foreign products, Canadians would be forced to buy Canadian products • For example: - Company A (from Canada) makes Product X and sells it for $110- Company B (from USA) makes Product X and sells it for $100.- Without Tariffs, most Canadians will buy from Company B- With a 15% Tariff on US products, Company B will be forced to sell their product at $115- Canadians will then buy from Company A and the money will stay in Canada • Overall, the plan failed to achieve any real results

  5. Bennett’s Government Part 2:Unemployment Relief • The Unemployment Relief Act set aside $20 million for the unemployed • To qualify a person must be: - a man - unemployed - no car- no radio- no telephone- no alcohol • Also, you had to stand in public lines to receive your money; it was very embarrassing

  6. Bennett’s Government Part 2:Unemployment Relief con’t • The “Dole” system was full of problems • It was too little for a family to live on • Also, the money was given to each municipality • Therefore, each city was responsible for taking care of its own people • Major confusion and disorganization, (especially with all the drifters and hobos around) • The “Dole” was one of the biggest reasons why hobos were treated so badly when they entered a town • Finally, no money was given to Farmers because they had a job (even if they couldn’t grow any crops)

  7. The Bennett Buggy

  8. Bennett Buggy: A horse-drawn car named after Bennett because he did little to help farmers

  9. Bennett’s Government Part 3:Relief Camps • Bennett was concerned about the amount of young men “riding the rods” • Communist ideas were becoming popular again as more people became frustrated with the lack of jobs and opportunity • The “Red Scare” was back! • To combat this problem, Bennett created relief camps; a place where men could work and stay out of trouble

  10. Bennett’s Government Part 3:Relief Camps con’t • The relief camps did more harm than good • They were organized by the military in isolated locations • Back-breaking work • Poor food • Inadequate clothing • Harsh conditions • Only 20 cents a day • Almost like a prison! • These camps created even more unrest and resentment among workers

  11. The On-to-Ottawa Trek • In April 1935, Relief Camp workers in BC struck their camp and began a long march to Ottawa to demand better conditions in the camps • As they crossed the country, thousand of men joined them • When they reached Regina, Bennett sent for the leaders of the movement and demanded that they break up the rally (he didn’t listen to any of their demands) • Bennett then used the police and RCMP to break up the Trek • So began the Regina Riots, one policeman died and hundreds of workers were arrested and beaten

  12. The Regina Riots

  13. The End of R.B. Bennett • Bennett was extremely unpopular during his time as Prime Minister • The Regina Riots were simply the last straw for Canadians • Bennett was crushed in the 1935 election and McKenzie King took over again • Bennett was heart broken by the election and his unpopularity • He left Canada and never returned (only 3 people went to say goodbye!) It’s King or Chaos!

  14. Key Points • To combat the depression Bennett:1. Donated his own money2. Raised Tariffs3. Gave Relief Money (the Dole)4. Created Relief Camps • The On-To-Ottawa trek was crushed (The Red Scare) • All Bennett’s ideas failed and the depression only worsened • Question: Did Bennett deserve the hatred he received from Canadians?

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