The Great Depression Review the PowerPoint and Video on Moodle.

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Presentation transcript:

The Great Depression Review the PowerPoint and Video on Moodle

Treaty of Versailles Review  Germany blamed for WWI  What were they forced to do?  Pay reparations to winning nations  Give up industrial lands  Give up colonies which provided resources  Disband their military  Give up their naval fleet  Admit blame for WWI

1920’s Spending  In America:  Mass consumerism  People buying on credit  Germany in massive debt, trouble paying war reparations  America gives Germany loans  Helps pay reparations

Black Tuesday – spark  Stock Market Crash  October 29, 1929  People panic, begin taking money out of banks  Banks fail  Smoot-Hawley Tariff  Limits imports to attempt to protect American companies  American bankers ask for Germany to repay loans  Germans do not have the money to pay loans, begins their own depression

World-Wide Depression  Germany  Worst country hit  Money became worthless  600,000 of 4 million “white collar” lose their jobs  France  Hit during 1932 – stopped exporting goods worldwide  Great Brittan  Not hit as hard, but sees massive rise in unemployment rate  Japan  Relied heavily on imports due to size, Depression caused countries to stop exporting goods

John Keynes  British Economist  Believed that government spending during the Depression, coupled with large scale programs would fix the economy

American New Deal  FDR Creates “New Deal”  Government spending increases to create jobs and spur spending across America  Public Works Programs employees Americans in many improvement projects  Doesn’t solve Depression, but stabilizes economy in America.  Great Depression will only end with spending for WWII.

Activity  Your job is to watch the video from this link and read the 7 Great Depression letters at this center.video from this link  Analyze the information. Focus on what happens to the people and what they’re asking for. Is it a lot? Is it a little? Who are they writing to in the letters?  Discuss the impact of the Great Depression on the average individual. Who’s affected?  How will the Great Depression affect Europe? The world?