What Are The Causes Of The Great Depression

The Great Depression was the greatest economic collapse in history.Before The Great Depression occurred, the citizens voted Herbert Hoover, a republican, to be the president. Hoover was elected right before the series of events leading to the Depression occurred. Herbert Hoover was so concerned about making a mistake that he rarely ever made any changes to help the economy. Many struggling families blamed Hoover for The Great Depression.There are many theories about what caused the depression but the truth is that it was a series of events: the stock market crashing, agriculture prices and farmers income, credit card debt, overproduction and the wage gap between the rich and the poor The crash of the stock market was one of the leading causes to the great depression. This put people out of jobs, homes and money. On September 3, 1929 the stock market was doing great and giving American citizens hope that the economy was in a successful shape. Within days the stock market dropped rapidly.Document one stages that throughout the next four years the stock
All the factors leading to the Great Depression lead to debt as well. Credit was invented in the 1920’s. It allowed consumers to make a large purchase without having to make one large payment. They could instead make several small payments until the product was payed off. In document three, industrial productions in factory assembly lines grew to be popular in the twenties. At this point in time the economy was doing great so lots of people made purchases with credit. This also allowed for after the start of the Great Depression families could afford to buy the items they needed to live with, with credit. When families got so far into debt with their credit and could no longer make purchases this affected the businesses and companies again. The supply went up and the demand went down. Nobody was buying anything and this made it hard for workers to keep their