THE GREAT DEPRESSION

THE CRASH

• Black Thursday: October 24, 1929
• Stock prices drop, investors lose money
• Lenders call in loans, forced to keep selling
• Business failure, unemployment
• Consumer demand reduced

FAMILIES

• Jobs became scarce, hard to maintain
• Unemployment rate rose to 35%
• Shantytowns were groupings of homeless people and makeshift homes
• Clustered near shelters and soup kitchens

THE NEW DEAL

• Keynes said depression was a problem of demand, not supply
• Government implemented protected banking, minimum wage, social security
• Workers unions became more common
• Farm subsidies were implemented