The Great Depression began in 1929 and lasted until 1939. It was the longest and most severe depression interminably experienced by the modern western world, sparking alterations in economic institutions, macroeconomic policy and economic theory. The Great Depression originated in the United States it caused radical decreases in output, relentless unemployment, and subtle deflation in almost every country. The social and economic effects were no less outrageous especially in the United States, where the Great Depression originated.
The Great Depression (1929-39) was the longest lasting economic recession in the history of the industrialized Western world. The Great Depression began after the stock market crash of October, which sent Wall …show more content…
The separation of classes was based on the neighborhoods where people lived and the type of houses they lived in. At the beginning of the great depression there were already 18 million poor, elderly, disabled and single mothers living at a basic survival level in America. Hurried, unplanned urbanization led to the lower class Americans living in tall, narrow buildings in congested and unhealthy living conditions. Ethnic enclaves housed members referred to as ghettos. Millions of families lost their homes and took up residence in shantytowns made of tents and old cars. They were named “Hoovervilles”, which mocked the President, who many blamed for this. Middle class Americans had enjoyed the prosperity of the Roaring Twenties that fostered a belief that they were better than others. The wages of the middle class were more than double those of the poor. Debts accumulated through margin loans had to be paid urgently and loans on such consumer goods as automobiles still had to be repaid. Small banks crumpled and people lost their life savings. Those that still had enough money to afford a house could no longer afford electricity. The social effects of unemployment further contributed to the crumbling economic …show more content…
Breadlines were established to prevent people from starving. The Social Security Act of 1935, which was a social insurance program, designed to pay retired workers aged 65 or older a continuing after retirement. To Roosevelt, these limitations on the programs were agreements to ensure that the Act was passed President Roosevelt stated upon signing Social Security Act: "We can never insure one hundred percent of the population against one hundred percent of the hazards and vicissitudes of life, but we have tried to frame a law which will give some measure of protection to the average citizen and to his family against the loss of a job and against poverty-ridden old age." Social security has become an essential aspect of modern life and has grown
The Great Depression (1929-39) was the longest lasting economic recession in the history of the industrialized Western world. The Great Depression began after the stock market crash of October, which sent Wall …show more content…
The separation of classes was based on the neighborhoods where people lived and the type of houses they lived in. At the beginning of the great depression there were already 18 million poor, elderly, disabled and single mothers living at a basic survival level in America. Hurried, unplanned urbanization led to the lower class Americans living in tall, narrow buildings in congested and unhealthy living conditions. Ethnic enclaves housed members referred to as ghettos. Millions of families lost their homes and took up residence in shantytowns made of tents and old cars. They were named “Hoovervilles”, which mocked the President, who many blamed for this. Middle class Americans had enjoyed the prosperity of the Roaring Twenties that fostered a belief that they were better than others. The wages of the middle class were more than double those of the poor. Debts accumulated through margin loans had to be paid urgently and loans on such consumer goods as automobiles still had to be repaid. Small banks crumpled and people lost their life savings. Those that still had enough money to afford a house could no longer afford electricity. The social effects of unemployment further contributed to the crumbling economic …show more content…
Breadlines were established to prevent people from starving. The Social Security Act of 1935, which was a social insurance program, designed to pay retired workers aged 65 or older a continuing after retirement. To Roosevelt, these limitations on the programs were agreements to ensure that the Act was passed President Roosevelt stated upon signing Social Security Act: "We can never insure one hundred percent of the population against one hundred percent of the hazards and vicissitudes of life, but we have tried to frame a law which will give some measure of protection to the average citizen and to his family against the loss of a job and against poverty-ridden old age." Social security has become an essential aspect of modern life and has grown