FC: The Great Depression
2: What it was... In the 1920s the stock prices were being raised. It seemed to people that they had more money because they would continue to borrow from the banks; however, it was a false judgment and this resulted in people becoming in debt. But because so many were in debt, they would have to continually borrow money from the banks to survive, which put an incredible amount of stress on the banks. This eventually led to the stock market crashing and what we now know as the tragic time of the Great Depression.
6: How long it lasted... The Great Depression lasted a total of 12 years. The crash began on October 29th, 1929 and the struggles lasted until 1941. Two months after the original crash, stockholders lost more than $40 billion dollars.
10: What life was like during the depression... It was definitely a struggling time for Americans. Because of people financially struggling they would try to cut back and not spend as much money, which resulted in less business and less job opportunities because stores would go out of business. By 1933, 26.6% of people who were employed had lost their jobs.
11: Workers were either fired, laid off, or had more work to get done with less pay if they were lucky and managed to keep their job. Farmers would lose their land due to the incapability of keeping up with the payments, and many factory workers would have had to work twice as hard for the same pay before the stock market crashed.
14: Who was affected... Not only did America suffer from the Great Depression, but it also affected outside countries. To help protect American companies, the Smoot-Hawley Tariff was created by the government in 1930. It charged a high tax of 50% on tariffs, which led to less trade between America and foreign countries. Because of this, any foreign countries that America had been trading with were affected due to the tariff.
18: How it ended... Many believed that World War 2 took a huge role in causing an end to the Great Depression. In the late 1930s, America was still hurting but the struggles were slowly weakening. As the war was approaching and German forces started to take over the neighboring countries, America was called upon by the fighting countries to provide supplies for them. This gave Americans a healthy boost, and America was said to have been officially out of the unfortunate event of the Great Depression when they entered the war in 1941.