Cause And Effects Of The Great Depression

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Discuss the causes, implications and solutions of various historical and current economic events like the great depression. During the history of humanity, there were several economic events such as the Industrial Revolution, the Great Depression, the Gold Rush, and series of hyper-inflation. Each affected and reshaped the global economy significantly. Among these events, I would like to focus on the Great Depression, one of the most extreme economic disasters in the history. The Great Depression was basically caused by significant decrease in stock price at Wall Street, New York in 1929. This crisis affected countless numbers of capitalistic nations, lasting until 1939. This lengthy period of economic disaster paralyzed the global economy.…show more content…
In the United States, the policy called the New Deal came into force by Franklin Roosevelt. The policy was planned specifically: the economic experts called the Brain Trust made plans. As soon as Roosevelt became the President of the United States, he declared the 3R Policy: Recovery, Reform, and Relief. The most important aspect that Roosevelt considered was dealing with countless amounts of surpluses and labours. One of the very well-known policies that Roosevelt initiated was the building of Tennessee Valley Authority. He planned to build a huge dam and in the process, employing many jobless workers. His plans were somewhat successful, as many Americans were hired to participate in the government’s project. In Germany, Adolf Hitler initiated massive rearmament of the German Reich that included the construction of Autobahn. Germany, arguably the most severely affected country by the Depression, finally began to recover from its economic disaster. Millions of men were hired to participate in state-funded programs, as the hyper-inflation disappeared. By 1936, Germany became a very stable nation, even hosting the Olympics that year. However, the greater disaster for humanity was…show more content…
During the war, production at the North American home front rose rapidly, as people participated in the war effort. In Great Britain, machines ran every day to produce military equipment and supplies. Labour power was necessary and millions participated in war production effort. By 1943, the sign of the Depression in the United States and Canada wore off as unemployment virtually disappeared. In fact, more workforces were needed to produce supplies. In 1945, the war ended as Germany and Japan surrendered. The United States and Canada ended up with powerful economies, while Western European nations prepared for reconstruction. Eventually, employment rate rose up, as people in both continents joined the workforce (although conditions were far less desirable in
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