Essay on The Great Depression Of 1929

1527 Words Nov 13th, 2014 7 Pages
Briann Johnson
History T R 11:00
November 12, 2014
The Great Depression The Great Depression was most definitely the one of the darkest times for the economy in the U.S. The stock market crash of 1929 caused this economic downturn. When the stock market plummeted, consumer spending majorly dropped. Companies were making less and less profit, the only options were either closing down or laying off employees in hopes of being able to bring themselves out of this low spot . In 1933, the peak of the depression, around 14 million people were unemployed and half the U.S. banks had gone under. With the helpful guidance of President FDR combined with war production for World War 2, we were slowly but surely brought out of the depression. In the summer of 1929, there was a slight depression that no one even thought anything about. Consumer spending was slowly dropping, unsold items were accumulating, production was dramatically slowing down, but the stock market prices were steadily going up. On October 24, 1929, the bubble burst. That day, 12.9 million stock shares were traded in all, earning that Thursday the name “Black Thursday”. On the next Tuesday, 16 million shares were sold by frantic people struck with fear. Eventually the shares turned out to be completely useless, some completely destroyed. Production kept slowing down, businesses fired their employees to try and make more profit. The lucky ones that actually got to keep their job took a cut in pay and were…

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