The Great Depression was a turning point for the United States it began in 1929 and lasted until 1939, it was the longest, most severe economic Depression ever faced in North America. Cities all over the United States were impacted. There were extremely high rates of unemployment and deflation. The rates of unemployment reached its highest peak in 1933, up to 14 million people were unemployed. The Great Depression was triggered by the stock market crash of 1929. Banks, factories and stores started to fail and eventually they closed, there was a drastic reduction in purchasing goods. The unequal distribution of wealth contributed to the great depression, In the 1920s, the wealthiest one percent owned more than a third of American assets.
The economic impact the Great Depression had on the United States was very profound. The amount of jobs lost reached …show more content…
It caused panic all over the United States, especially to investors in Wall Street. As stock prices began to decline investors panicked, which led them to share their stocks. On October 24th a record of 12,894,650 shares were traded. The situation only grew worse, On October 29th also known as “black Tuesday” stock prices completely collapsed, there were 16,410,030 shares traded. “Millions of shares ended up worthless, and those investors who had bought stocks “on margin” (with borrowed money) were wiped out completely.”(History.com Staff. "The Great Depression." History.com. A E Networks, 2009. Web. 15 May 2016). Banks whom depended highly on the stock market shut down. When the stock market crashed people withdrew their money from their bank accounts. Banks began to fail because there was not enough money, and everyone kept withdrawing it which led them to close. Those who did not withdraw their money lost it all and went bankrupt because they could not claim their money once banks
The economic impact the Great Depression had on the United States was very profound. The amount of jobs lost reached …show more content…
It caused panic all over the United States, especially to investors in Wall Street. As stock prices began to decline investors panicked, which led them to share their stocks. On October 24th a record of 12,894,650 shares were traded. The situation only grew worse, On October 29th also known as “black Tuesday” stock prices completely collapsed, there were 16,410,030 shares traded. “Millions of shares ended up worthless, and those investors who had bought stocks “on margin” (with borrowed money) were wiped out completely.”(History.com Staff. "The Great Depression." History.com. A E Networks, 2009. Web. 15 May 2016). Banks whom depended highly on the stock market shut down. When the stock market crashed people withdrew their money from their bank accounts. Banks began to fail because there was not enough money, and everyone kept withdrawing it which led them to close. Those who did not withdraw their money lost it all and went bankrupt because they could not claim their money once banks