5.2 The Great Depression

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5.2 The Great Depression

What were the causes and effects of the global economic crisis that began in 1929?

Read text block Free market economy

jot down 3 words you don't know in your notebook

Copy and answer these questions in your notebook:

1. Which presidents were in charge during the 1920's?
2. What did they believe in?

Write down the five measures the government took during the interwar period.

" In the ideal free market economy, no active involvement from the government would be necessary". 

1. Who believed that?
2. and why would it not be necessary?

The Great illusion:

So how did Hoover get connected with the phrase, even though he seems never to have said it? It’s reemergence has been traced to a Republican campaign flyer in 1928 which was titled “A Chicken for Every Pot.” What Hoover did say, on October 22, 1928, is “The slogan of progress is changing from the full dinner pail to the full garage.

The Great illusion:

Three weaknesses of the US economy:

1. overproduction in the agricultural sector
2. the rise of the consumer society and the credit industry
3. popularity of stock market speculation

Stock market crash and depression

chain reaction of events

1. two developments that made investors uneasy.

2. Black Thursday; what happend?

3. Banks were forced to close, meaning that ... and that...

4. 

Stock market crash and depression

1. Name two protectionist measures that were taken to counter the depression.
2. What was a consequence of these measures?

Global economic crisis; consequences

economic:

social:

political: