The 1930s / The Great Depression (Chapters 15-16) ODE STANDARD: The Great Depression was caused, in part, by the federal government

1
The 1930s / The Great Depression (Chapters
15-16) ODE STANDARD The Great Depression was
caused, in part, by the federal governments
monetary policies, stock market speculation,
increasing consumer debt. The role
of the federal government expanded as a result of
the Great Depression.
Causes of the Great Depression 20s
Boom ? Stock Market Crash of 1929 ? ripple effect
Great Depression, 1929-1941 (What did it look
like?)
How to combat the Great Depression?
- Hoovers response
- FDRs response,
Effects on USA
POLITICAL
ECONOMIC
SOCIAL
2
Effects

• Causes
• Roaring 20s BOOM
• unequal distribution of income
• personal debt
• risky investment ? stock market speculation
  buying on the margin
• overproduction
• artificially inflated stock prices
• FED limited money supply
• farmers struggling ? couldnt pay loans, farms
  foreclosed by banks
• Stock Market Crash, 10/29/29
• 16 million shares sold
• Ripple effect through economy
• bank runs bank failures ?
  FED did not intervene to help banks (
  banks couldnt lend )
• layoffs, less spending, etc

Great Depression, 1929-1941
3
Economic Activity in the US
4
No One Knew It Was Going To
Be THIS Bad
5
A Normal Business Cycle