1 / 23

The Causes of the Great Depression

The Causes of the Great Depression. On October 29 th , 1929 the stock market crashed. . It was one of many causes of the GREAT DEPRESSION. It was a symptom of a very sick economy.

wei
Download Presentation

The Causes of the Great Depression

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The Causes of the Great Depression

  2. On October 29th, 1929 the stock market crashed. It was one of many causes of the GREAT DEPRESSION. It was a symptom of a very sick economy

  3. GREAT DEPRESSION – Period of American history, roughly from 1929-40’s characterized by large scale unemployment, poverty, low wages and economic failure.

  4. Key Vocabulary • A Corporation – A public business in which many shareholders own a piece of it • A Stock – Represents a share of ownership of a corporation • Stock Market – Location where stocks are bought and sold • Speculation – Investing in a product with the hopes that it will gain in value

  5. Key Vocabulary • Interest- The charge for borrowing money from a bank • Bank deposits – The money deposited in your bank account may not always be there at all times • Debt- The amount of money an individual, family or business owes to a creditor • Depression – A severe long term downturn in economic activity in a country

  6. Big Idea: The economic policies & trends of the 1920s created a sick economy. The market crash was a symptom of this. • The Great Depression was caused by multiple causes • Speculation • Banking Crisis • Overproduction • A Wealth Gap • Under consumption • Failure of Farms • High Tariffs

  7. The Business Cycle: Prosperity Recovery Recession Depression

  8. I. Speculation • Land, oil, stocks • Buying on margin

  9. II. The Banking Crisis • Interest • Banks fail- bank runs

  10. III: Overproduction • Mass production • New inventions • Consumerism • Supply/ demand

  11. IV. Wealth Gap • Concentration at top • Economy in hands of few • Greater productivity = greater profit Wealthiest Americans Population

  12. V. Failure of Farms/ under consumption • Fewer markets • Under consumption • Cycle of debt

  13. VI: High Tariffs • High tariffs hurt American business • Hawley- Smoot Tariff Act • http://www.youtube.com/watch?v=dxPVyieptwA

  14. Effects felt everywhere:

  15. Hoover Reacts:

  16. Hoover Reacts: • Philosophy of “rugged individualism” • Private, voluntary contribution • Creates Presidents Organization on Unemployment Relief • Reconstruction Finance Corporation • Public works (Hoover Dam)

  17. Hoover Dam:

  18. Effects of the Dam: • Electricity • Jobs • Sets standard for New Deal

  19. The Bonus Army • WWI Vets: bonus due in 1945 • Many unemployed • May 1932- 17,000 march to Anacostia flats across from DC • Live in “Hoovervilles” • Army called out to disperse group

  20. The Bonus Army

More Related