The Great Depression: An Economic Downfall

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Home The Great Depression:A Conflict Over An Economic Downfall THE GREAT DEPRESSION CAUSED EXTREME POVERTY AND JOB LOSS THROUGHOUT AMERICA DURING THE 1930'S. THIS ECONOMIC DOWNFALL LED TO THE ABANDONMENT OF THE GOLD STANDARD, FDR'S NEW DEAL PROGRAMS, AND AN INCREASED SIZE OF THE FEDERAL GOVERNMENT. ALTHOUGH THESE METHODS HELPED COMBAT THE DEPRESSION THE UNITED STATES WOULD NOT GET OUT OF THE DEPRESSION UNTIL WWII.Sophia Bosi Junior Division Individual Website Total Words On Website:1,035 words Process Paper: 367 words Before the Depression The government before the Depression Before the Great Depression, the average American had little contact with the federal government besides the post office. The policies and actions of the Federal government…show more content…
The Great Depression was an economic slump in the 30's. During the Depression the unemployment rate was extremely high, a lot of America was in poverty and many banks were failing. This conflict affected almost everyone in some way. throughout the Depression around 9,000 banks failed and in the year 1933, which was the worst year for the Depression, around $140 Billion dollars were lost through bank failures. Many things were done to help combat the Depression such as abandonment of the gold standard, FDR's New Deal programs and and increased size of the Federal government. Events that led to the Great Depression The main event people think of is the Stock Market crash of 1929. The stock market crash was one of the major causes of the Depression. Within two months of the crash stockholders lost more than $40 billion dollars. During the 1930s over 9,000 banks failed. People lost their savings due to the bank deposits being uninsured. Banks that hadn’t failed almost completely stopped giving out loans. One event that led to the Great Depression that was not a direct cause was the Dust Bowl that occurred in the Mississippi Valley was so large that people could not pay their taxes or other debt they had, which caused them to have to sell their farms for no profit for themselves. People also stopped purchasing items which led to a reduction in the number of items being made and a cutback on staff. The unemployment rate rose 25% which resulted in even less
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