Canada During The Great Depression
The Great Depression
The Depression Begins People often look back on the Roaring Twenties as a time of unbroken prosperity and optimism. The 1920s were remembered as a decade for easy money and high standards of living, short skirts and raccoon coats, jazz music and the Charleston, American gangsters and Canadian rum-runners, fast cars and bathtub gin. In the last years of the 1920s, most Canadians were unprepared for the abrupt end to the boom and the optimism that they had enjoyed throughout 1920s. However, the economic prosperity had come to an end in October 1929 and good times gave way to poverty, hardship and despair when thousands of speculators lost money in an unexpected stock-market slump on the Winnipeg Grain Exchange. In five …show more content…
Not surprisingly, an event as devastating and complicated as the Great Depression had many causes, and the causes were related to factors that reveal the extreme vulnerability of the Canadian economy to World market conditions. Most recent economic studies of the Great Depression suggests that the stock market crash created “uncertainty about future income” among the American consumers and businesspeople which led to substantial decline in the demand for expensive items such as cars, stoves, washing machines. For example, U.S. automobile sales dropped sharply in November and December 1929 and companies began cutting back on the production of consumer goods. As American industrial production declined, workers were laid off and unemployment grew. Then, the mistaken monetary policies of the American government and a series of U.S. bank failures went from uncertainty to pessimism, which led the consumer spending and business investment to drop even further. As a result, the Great Depression in the United States worsened in the early
The Depression Begins People often look back on the Roaring Twenties as a time of unbroken prosperity and optimism. The 1920s were remembered as a decade for easy money and high standards of living, short skirts and raccoon coats, jazz music and the Charleston, American gangsters and Canadian rum-runners, fast cars and bathtub gin. In the last years of the 1920s, most Canadians were unprepared for the abrupt end to the boom and the optimism that they had enjoyed throughout 1920s. However, the economic prosperity had come to an end in October 1929 and good times gave way to poverty, hardship and despair when thousands of speculators lost money in an unexpected stock-market slump on the Winnipeg Grain Exchange. In five …show more content…
Not surprisingly, an event as devastating and complicated as the Great Depression had many causes, and the causes were related to factors that reveal the extreme vulnerability of the Canadian economy to World market conditions. Most recent economic studies of the Great Depression suggests that the stock market crash created “uncertainty about future income” among the American consumers and businesspeople which led to substantial decline in the demand for expensive items such as cars, stoves, washing machines. For example, U.S. automobile sales dropped sharply in November and December 1929 and companies began cutting back on the production of consumer goods. As American industrial production declined, workers were laid off and unemployment grew. Then, the mistaken monetary policies of the American government and a series of U.S. bank failures went from uncertainty to pessimism, which led the consumer spending and business investment to drop even further. As a result, the Great Depression in the United States worsened in the early