The Devastating Results of “The Great Depression”
Damaris R. Rodriguez
American Intercontinental University
Abstract The Great Depression began in North America but turned into a worldwide economic crisis that began in 1929 thru about 1939. With widespread of unemployment, stoppage in industrial development and construction, and a 89 percent drop in stock prices this was preceded as the New-Era. With stock markets taking a plunge it ruined many investors and put a strain on banks which led to 11,000 banks to bankruptcy (Taylor N. A, Short History of the Great Depression, 2008). In the US economic slump led to the election of Franklin D. Roosevelt in 1932. Franklin D. Roosevelt faced a country with a banking crisis and unemployment that had reached 24.9. Roosevelt took immediate action to reform America’s economy. Despite the drastic measures Roosevelt took, there was still a lot of unemployed Americans. With the outbreak of World War II in 1941 the US became flooded with orders of supplies for the war this soon ended the Great Depression in the United States.
The Great Depression
The Great Depression started in the Oct 29, 1929 also known as “Black Tuesday” where the Dow Jones and the New York Stock Exchange (NYSE) fell 23 percent and the market lost about $9 billion in value. Thru the next three years stock prices in the United States continued to fall. The decline in value of assets put a great strain on banks and other financial institutions. Many banks were forced into bankruptcy and by 1933 11,000 out of 25,000 of the US banks were forced to close (Taylor N.A, Short History of the Great Depression, 2008). With the failures of so many banks Americans had to reduce their spending, that...