Task 4(A)Major Causes Of The Great Depression Wgu Essay

1506 words - 7 pages

Paula Moyer
Task 4 (A)
Explain (suggested length of 1–2 pages) the major causes of the Great Depression (e.g., economic policies, trade concerns, banking practices, international commerce).
The American Economy was growling rapidly through this time but then war came, and people were not as ready to buy goods and services. In the beginning of the 1920’s the economy on a decline. Then soldiers came home and were unable to find work and the unemployment rate went from 2 percent to 12 percent and many were without jobs (Norton, 2015). After this time in 1922 electric motors were a big help in restarting the economy. Most houses had electric and it gave Americans more spending money and freedoms. But it did not last long, the great depression a time of unrest and one of the worst economic down falls of the History of the United states. It was a time period that lasted 10 years 1929-1939. There were economic, political, international commerce, banking practices, and trade concerns that help to fuel this great depression but some of the major causes that hit us the hardest were, farming, trade, and money.
Changes this dramatic were caused by a series of events and decisions. With the invention of electricity and electrical motors and engines it allowed big machine to be created that made mass production easier and picking and planting by hand became obsolete. The president during the war encouraged this mass production to help with the war and feeding the men both here and in Europe. Because of WWI the United States became a strong nation on how to create a strong financial capital (Norton, 2015). This encouraged trade with other countries and built a strong economic system for the people and businesses in agriculture. However, things drastically changed after the war when the soldiers came home, they found people without and they soon became one of those groups. Many factories began to lay people off and this is when the unemployment rate began to rise (Norton, 2015).
Not only was agriculture affected trade was affected The United States tried to share its ideas of capitalism and establish a strong economic order. However High American tariffs were responsible for low exports this created a slow world trade system. The reciprocal Trade Agreements program was created to help with the war tariffs with other nations (Norton, 2015). They also formed trade associations that would allow them to expand their professional societies, and the Federal Trade Commission were cooperating other than regulating trade. Now because of the trade system put into place the United States became depended on its trade for its strong economy. The strong trade system was soon linked with idea of communism being brought to America by radical immigrants. Government also extended reform programs that would create peace abroad and at home (Norton, 2015). With products being shared such as the Automobile and radio it helped to blend ethnic boundaries and shape homogenous culture...

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