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The Great Depression started as an ordinary recession, some say from the unnatural power of labor unions at the time, but that significant policy mistakes by monetary authorities, caused a shrinking of the money supply which greatly exacerbated the economic situation, causing a recession to descend into the Great Depression. Hoover responded by having massive public works and governmental spending, FDR continued that policy. This deepended and lengthened the crisis.
It took FDR 8 years to get unemployment below 15 percent and that was due in part since most men of age had joined the war effort. The economy took off after the war as people began to spend as opposed to relying on government spending.
A simple calculation indicates that nearly all of the observed recovery of the U.S. economy prior to 1942 was due to monetary expansion. Huge gold inflows in the mid- and late-1930s swelled the U.S. money stock and appear to have stimulated the economy by lowering real interest rates and encouraging investment spending and purchases of durable goods. The finding that monetary developments were crucial to the recovery implies that self-correction played little role in the growth of real output between 1933 and 1942. A simple calculation indicates that nearly all of the observed recovery of the U.S. economy prior to 1942 was due to monetary expansion. Huge gold inflows in the mid- and late-1930s swelled the U.S. money stock and appear to have stimulated the economy by lowering real interest rates and encouraging investment spending and purchases of durable goods. The finding that monetary developments were crucial to the recovery implies that self-correction played little role in the growth of real output between 1933 and 1942.
Causes of the Great Depression included a major Stock Market crash and banks losing money. Other factors were England using the gold standard.
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Would the Nazis have gained power without the Great Depression?
The consensus among historians is that without the Great Depression the Nazis would not have come to power.
Was Franklin D Rooselevt successful during the Great Depression?
Franklin D. Roosevelt had created the New Deal programs to help the United States come out of there Great Depression, they helped somewhat, but it was really World War Two that brought us out of the Great Depression.
Why should you care about the Great Depression?
A reason one should care about the great depression is that such an event could possibly happen again. Economists, sociologists, and politicians can learn alot by studying the events leading up to the great depression and hopefully come up with ideas and plans to prevent such a catastrophic event in the future.
Did people watch television during the Great Depression?
It was a form of escapism at the time, similar to Jazz music and watching professional sports. It took people away from the grim depression days. Unfortunately for the previous answer, radio was the mass media of the Great Depression. TV did not come in until after WWII.
Where did the name the Great Depression come from?
the name the great depression came from a long time ago when people lost jobs and the taxes went upthe name the great depression came from a long time ago when people lost jobs and the taxes went up
'where did the great depression come from?
United states of America
Would the Nazis have gained power without the Great Depression?
The consensus among historians is that without the Great Depression the Nazis would not have come to power.
Did the World War I come before the Great Depression?
World War 1 lasted from 1914-1918. The great depression lasted from October 1929-1939.
Were there TV's during the great depression?
No. Television was invented before the depression, but did not come into common use until the 1950's.
Was Franklin D Rooselevt successful during the Great Depression?
Franklin D. Roosevelt had created the New Deal programs to help the United States come out of there Great Depression, they helped somewhat, but it was really World War Two that brought us out of the Great Depression.
Will the great depression come back?
Yes. In 'The great deppression 2: return of the great depprsssion' So watch out, coming out everywhere in 2010!
Is this correct she is finally come?
No, the correct way to say it is "She has finally come."
Why should you care about the Great Depression?
A reason one should care about the great depression is that such an event could possibly happen again. Economists, sociologists, and politicians can learn alot by studying the events leading up to the great depression and hopefully come up with ideas and plans to prevent such a catastrophic event in the future.
What role did WWll play in ending the Great Depression?
Only when the nation began to prepare for World War II, along with massive purchases of American goods from abroad (and American rearmament), did the Great Depression come to an end. By 1939 the economy was on an upswing and by 1940, after war had begun in Europe, the Great Depression was history.
Did people watch television during the Great Depression?
It was a form of escapism at the time, similar to Jazz music and watching professional sports. It took people away from the grim depression days. Unfortunately for the previous answer, radio was the mass media of the Great Depression. TV did not come in until after WWII.
Where did the name the Great Depression come from?
the name the great depression came from a long time ago when people lost jobs and the taxes went upthe name the great depression came from a long time ago when people lost jobs and the taxes went up
When did Model T come out?
The Model T came out in about 1905. 9 Years before the Great Depression. They recently celebrated their 100th anniverserey.
