The Great Depression: An Overview in Simple Terms
Discover the key causes, global impact, and lasting lessons of the Great Depression in this concise, reader-friendly overview. Learn how the 1929 stock market crash, bank failures, and the Dust Bowl shaped the world’s worst economic downturn, along with the government’s response and recovery efforts. The Great Depression (1929-1939) was the most terrible economic downturn in modern history. It began after the U.S. stock market crash of October 1929, which wiped out millions of investors. But what exactly made this crisis so severe, and why did it affect not just the U.S., but the whole world? Causes 1. Stock Market Crash: On October 29, 1929—known as Black Tuesday—the U.S. stock market collapsed. Stock prices had been artificially high, driven by speculative investments, and when the bubble burst, it triggered panic. 2. Bank Failures: Banks had also invested heavily in the stock market. When stocks crashed, many banks collapsed, and people lost their savings. Without money, consumer sp...