The Great Depression, which lasted from 1929 to 1939, was a landmark decade that entailed famine, increased suicide rates, and financial shrinkage internationally. Being that the stock market was comprised of international stock, when the crash of October 1929, major banks failed worldwide, causing several countries to suffer from trading losses due to the relationship with the United States at the time. In Argentina, circumstances were intensified by the Concordancia and the political and social turmoil in the country at the time. Import Substitution Industrialization was a tactic used in Argentina and internationally to repair the country’s economy.
The depression in the 1930’s in the country of Argentina was one of the most devastating internationally. In 1929, Argentina had the fourth highest gross domestic product; however a few short months later, this would no longer be considered the case. Considering that the economy heavily depended on foreign trade for daily essential produces, the economy was deficient of vital goods and thus lacked important industry. Mainly dependent on the foreign capital from Great Britain at the time, domestic industry was severely affected by the market crash due to the halt of British domestic capital investment. Through the Domino Effect, mass and widespread unemployment was a major and constant theme in the Argentinian culture at the time. This further affected the government revenue dropped significantly as the export of the country faulted investment and imports were decreased exponentially due to the international depression. As a result of the decline in national revenue, grand deficits began to appear. To repair the shortage of the countries’ profits, the government began to borrow mo...
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...ed along with the industrialization of Argentina. However, during this time corruption politically and electoral fraud was a continuing issue. Eventually, in 1944, the General Confederation of Labor overthrew the Concordancia and controlled the country.
In conclusion, the Great Depression of October 1929 caused several countries worldwide to have bouts of economic decline. In Argentina, the Concordancia and Import Substitution Industrialization policy aided the repair of the damaged economy. Through the countering of Irigoyen’s deficit repair and isolation tactics, the economy was eventually able to return to a healthy and stable form.
Works Cited
"The Great Depression Concordancia." The Great Depression Concordancia.docx – Google Drive. N.p., n.d. Web. 09 Apr. 2014. .
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