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What Are The Causes Of The Great Depression Essay

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The Great Depression
Ideally, it would be fair to look at the great world economic depression of 1930 which was cause by a series of separate though very related events as a global event and not just an American affair. The global recession took place at a time when poverty and desperation were instigated from at various events and levels. Various versions of the causes of the global depression have been said making it difficult to ascertain some of the real causes of the depression without factual and verifiable data. As it stands, there were many contributing factors that are believed to have caused the stock market crash of 1929. This task, therefore, shall discuss various events that led to the world economic depression, some of the effects it had on the United States and practical steps that were taken to overcome the situation.
Stock Market Crash of 1929
Most studies put the Stock Market Crash of 1929 at the center stage of the world economic crash based on these affirmations. Speculations during Roger Babson’s speech at the annual National Business Conference sent panic among the people when he said, ….” Sooner a crash is coming which will take the leading stocks and cause a decline from 60 to 90 points in the Dow Jones Barometer.” Due to this …show more content…

The United States under President Warren was experiencing a rapid economic boom with the unemployment rate falling from 11.7% to 2.1% in 1923; technology was on the rise with car manufacturing industries such as ford taking a share of the market (Hansen, 81). Farmers, however, were not faring well as their crops had to compete with cheap Europe import. Based on the scenario that happened with the major world economy, the state of instability and panic significantly fueled the events that led to the great crash of

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