Chapter 6 – Prosperity and Depression Grade 8

Prosperity and Depression The War is Over (1918) Things did not quickly return to normal why? - Economy changes from wartime to peacetime economy - Europe ’s demand for Canadian goods dropped off causing a slump in the economy - Hardest hit were the Maritimes and the Prairies (Fish & Wheat demand declined) - Price of regular goods was going up, but wages were not, causing slow sales - Unemployment went up

Decades of Change A Buoyant Economy for Some (1923) By 1923, Central Canada, BC, and The Prairies, had begun to recover from the economic slump, and entered a period of growth why? - Agriculture production increased as the demand went up - Mining activity increased in these areas - Trade with USA increased mostly because of the demand for pulp and paper - Branch Plant Factories(a business owned and controlled by a company in another country) built to avoid tariffs - Changing Technologies increased production: Technology Changes:1) Electricity 2) Assembly Line 3) Electric Appliances

Decades of Change Stalled Economy for Others The Economic boom of the 1920’s did not get to The Maritimes or Newfoundland, why? - A decline in shipbuilding after the war - Increased cost of railway freight rates - Lack of electricity in the area,As a result: Secondary Industries (Pulp & Paper) slow to develop.Primary Industries (Farm & Fisheries) exploited (Overused) ** This brought about talks for Maritime Union**

Decades of Change Lifestyle and Technology The Roaring 20’s - The 1920’s were called this because of the good times and social freedoms.New Technologies brought on mass production The Haves Installment Plans – by now pay later introduced, as people thought the good times would last for ever. New Luxury Items for Purchase: - Cars - ownership became possible - Telephones – ¼ families in 1920, by 1929 ¾ of families - Electrical Appliances

Decades of Change The Have Nots The have nots – those who did not prosper Who made up the have nots: 1) Rural Canadians - many worked but had trouble making ends meet (Working Poor) 2) Immigrants – (Working Poor) 3) Women who were employed and lost jobs due to the return of the soldiers 4) First Nations – Government still hoping for assimilation – where first nations would become part of mainstream culture, and give up their own values, beliefs, and cultures. Assimilation pushed along by government by forcing first nation students into schools where their personal cultures were forbidden.

Decades of Change Leisure/Sport/Changing Attitudes Leisure activities: included radio and motion pictures (Silent movies) Sports: included baseball, football, boxing, and hockey Changing Attitudes: Clubs introduced, dancing, alcohol, and many new types of fashion. All of these things were considered controversial to many.

Decades of Change Causes of The Great Depression Black Tuesday - Oct.29, 1929 – this signified the end of the Roaring 20’s and the beginning of The Great Depression, as The New York Stock Exchange crashed. Find the definitions of the following in your text: Stocks – Shares – Dividend – Victory Bonds – Interest –

Decades of Change Roots of the Depression Causes of the Depression, dates back to “The Roaring 20’s” 1) over spending in the 20’s 2) credit was too easy 3) over production 4) Close connection to the US Economy 5) Decrease in International Trade 6) Bank Failures 7) Unemployment Grew Depression lasted most of the 30’s, and only recovered with the start of World War 2.

Decades of Change Social Conditions 1) unemployment ruined lives 2) disadvantaged groups conditions worsened 3) Luxury items almost all but disappeared 4) People were homeless and hungry 5) No Government programs to help those in need People in need resorted to: 1) begging 2) working in relief camps to help build roads etc. 3) same became hobos and rode the rails

Decades of Change Escape From Hard Times - Children found ways to entertain themselves - These were times of creativity and resourcefulness Political Changes - Canadians lost faith in Political parties - New parties were formed as result - New parties brought new ideas

Decades of Change New Parties 1) Communist Party – all people share in the prosperity equally 2) CCF – a coalition of farmers, labor union leaders, and professors, they believed in private ownership and government services 3) Social Credit Party – felt the Government should hand over money to people to get the economy moving again. 4) National Party of Quebec – a group of former Liberals and Conservatives who had ideas for change to the end the Depression **None of these parties ways ended the depression, times just gradually started to improve.**