Great Depression

The Great first gear began in October 1929, when the stock market in the United States dropped rapidly. Thousands of investors befogged great deal of money and some were wiped out, lost everything. The decline caused the Great Depression. In the period long and worst period of high unemployment and low business occupation took place. Banks, stores, and factories were closed and left millions of race jobless and homeless. Many people came to depend on the government or charity to yield them with food. The Great Depression did not begin in 1929 with the come to of the over inflated stock market. In fact the Depression began ten years earlier in Europe. As the notion raged on in Europe Americans believed they would be resistive to its effects. As a result American polices never intercommunicate the possibility of the United States entering a depression as well. The early warning signs first came in the agricultural sector. Farmers move to produce more and more food due to technical advances like the tractor. As yield grew farm prices dropped. It was simply a matter of supply and demand. Framers reacted in the traditional manner and boosted production even further. Prices increased. Farmers began to default on their loans and the banks closed.

To make matters worse the exchange part of the nation was hit with a terrible drought. Farmers were devastated. Banks that had invested intemperately in the stock market and real estate lost their depositors money. A panic ensued as people lined up at the banks to get their money. Unfortunately for many the money honorable wasnt there. As the amount of money in circulation dropped deflation hit. Money was price more but there was little money to be had. The fed which had the power to put more money into circulation did vigor (laissez faire). Workers were fired as thousands of businesses closed down. Unemployment rose to 25-35%. In Toledo Ohio fully 80% of the workers were unemployed. Real estate investments flopped... If you want to get a full essay, order it on our website: Orderessay

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