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The Great Depression Essay

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The Great Depression was the single worst economic collapse in world history. Many people in the world lost their jobs, banks lost their money, and nearly all faith in the economy was lost. Unemployment rose to a record 33% in some places during the depression. The Great Depression was one of the most important things to happen in world and financial history. The effects of The Great Depression lasted for many years.

The Great Depression started on a day in American and world history that was sindged into our hearts forever; October 29, 1929 (Black Tuesday). The Dow Jones Industrial average on the New York Stock Exchange fell 12% and caused many people to lose their invested money and assets. The Depression was felt worldwide as we saw nearly 35% of all jobs and trade lost during this period of time. At the depression’s peak, the Dow Jones Industrial Average lost 89% of its assets and value. This made banks, businesses and stores close, leaving many Americans jobless and without money. Without any assets, people depended on the government for food and financial aid. The Roosevelt administration then created many government agencies to help relieve the depression’s effects and to help make sure that something this catastrophic doesn’t happen again.

The people that were affected the most by the Great Depression were stockholders. Thousands of stockholders lost enormous amounts of money on Black Tuesday. The rapid decrease of stock prices made stockholders lose their money within one day. Even though it was a devastating loss, there was no way to predict it. From 1925 to 1929, the average stock price doubled on the New York Stock exchange, making people invest ludicrous amounts of money in the hope that they would make a hug...

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...hange crash of October 1929 and therefore the succeeding depression alerted stockholders to be concerned about their own investments within the stock exchange instead of the data of other people’s investments. Even within the current recession, several world leaders economic policies were influenced by measures taken to end The Great Depression to revive economic conditions. Due to its tremendous effects within America and throughout the globe, The Great Depression is understood in history as a squeaker from the downfall of the global economy. Hopefully, in the future the global economy, people are much more wealthy and more prosperous than they were in the roaring Nineteen Twenties, and America and therefore the remainder of the globe are chasing the “American Dream” once more, instead of having another unforeseen and catastrophic event like The Great Depression.
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