Great Depression Causes

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In the late nineteen twenties thru the early nineteen forties, the United States of America was experiencing a very hard time. That decade marked the worst decade ever for America. During that decade the economy basically fell apart. Many thought that it was the end of the American Dream, but was it? The cause of the horrible downfall with the economy was known as the Great Depression. The Great Depression began in October 1929 and was caused by more than one reason. One of the causes of the Great Depression was when the stock markets in the United States dropped rapidly. When the stocks started to fall, hundreds and thousands of investors lost all of their money. Eventually the stocks crashed and it led into the Great Depression. Many of the…show more content…
The ensuing 10 years following the stock market crashing was ranked as the worst period for America. As President Roosevelt stated in his Inaugural Address 1933, “Value has shrunken to fantastic levels; taxes have risen; our ability to pay has fallen; governments of all kinds is faced by serious curtailment of income; Farmers find no markets for their produce; the savings of many year in thousands of families are gone”. It was also not only for unemployment but also for businesses. The low business activity led to the closing of banks, stores, and factories. The closing of those major businesses left thousands and millions of Americans jobless, homeless, and without food. The affect was felt by many. Almost all of the people became dependent on the government or charity such as food drives to provide them with food. The Depression became a worldwide business slump of the 1930's that affected almost all nations. It led to a sharp decline in world trade as each country tried to protect their own…show more content…
Roosevelt was officially in office. He immediately began to help America recover, something President Hoover couldn’t do before him. America was falling apart under Hoover, not being able to conquer anything. Once in office, Roosevelt knew that the American citizens would look for him to fix what was going on in America with the Great Depression. Roosevelt stated, “I am certain that my fellow Americans accept that on my induction into the Presidency, I will address them with a cinder and a decision which the present situation of our nation impels.” All Roosevelt wanted America to do was give their support to leadership and wanted them to know “the only thing we have to fear is fear itself.” What Roosevelt was bringing to the table in effort to help America recover would be considered the New Deal. The New Deal was thought to bring immediate relief for America, which is what they wanted according to Roosevelt, “In their need they have registered a mandate that they want direct, vigorous action.” Which meant it would put many Americans back to work, help farmers get back their profits, and help financially. Focusing on those things, Roosevelt came up with many acts. For farmers he came up with the Agricultural Adjustment Act (AAA). That act was created to raise the prices for farmers and reducing the production. Basically what that act did was pay farmers to produce less. That act was considered an immediate
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