THE GREAT DEPRESSION 1929 1940
THE GREAT DEPRESSION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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banks closed
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unemployment increased
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many new factories opened
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people lost all of their life savings
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Detailed explanation-1: -The U.S. economy shrank by a third from the beginning of the Great Depression to the bottom four years later. Real GDP fell 29% from 1929 to 1933. The unemployment rate reached a peak of 25% in 1933. Consumer prices fell 25%; wholesale prices plummeted 32%.
Detailed explanation-2: -There were steep declines in production, employment, incomes and trade. Agricultural regions and communities were worst affected due to the fall of agricultural prices and ruin of urban centres. Unemployment created further poverty in the society and people were living in destitute conditions.
Detailed explanation-3: -Among the suggested causes of the Great Depression are: the stock market crash of 1929; the collapse of world trade due to the Smoot-Hawley Tariff; government policies; bank failures and panics; and the collapse of the money supply.