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Rearmament
One main reason the world was brought out of a period of recession was the fact that building new weapons to fight another war brought a new stimulus to many economies. Thus, as war seemed just around the corner, the rapid demand for arms brought many countries out of recession as the producton of these goods heavily increased the flow of the economy. -
Economic Inflation (Germany)
A three year period in which the value of German Currcency fell drastically. This was due to the constant payment Germany owed to France being payed off by printing massive amounts of money. This practically made the currency worthless and sent the country into an recession for many years. -
Ruhr Crisis
The Ruhr Crisis occured when Germany missed a payment of reparations to France, and as a result, France invaded German terrritory to secure goods. Due to protests desryoying goods and the confiscation from France, Germany's currency froze and hyperinflation insued, effectively spiraling them into depression. -
Creation of Article 48
Article 48 was a driving resource for the HIndenburg governmetn during Germany's great depression. Under this article, Hindenburg was able to manage all economical bill simply by claiming article 48 gave him the right to put bills into action if he considered them an emergency, saving him for having to put them through the Reichstag. -
Stock Market Crash
Also known as Black Tuesday and widely marked as the initiation of the Great Depression in the United States that would spread economic inflation and scarcity until WWII began to drag many out of the economic struggles. The crash remains to be the most devastating crash in American history. -
Inability to pay war reparations (Germany)
When the Dawes Plan was withdrawn, which was initially providing funds for reparations, Germany was unable to repay their debts. As a result, those expecting funds from Germany had their econonomies hit as they were no longer recieving funds, and Germany was unable to pring enough money to meet the demand of its currency. -
Discontinuation of the Dawes Plan
The Dawes plan was a bill from the United States of America that Stated that they would give funds to Germany to help pay off their debts. However, the Plan discontinued, and in its place was the Young Plan. And while the Plan still gave funds, the action greatly affected the recession issues in Europe, especially in Germany and France. -
Hawley Smoot Terrif
The Hawley Smoot Terrif brought in under Hoover that imposed terrifs on many imported goods in an attempt to gain economic grounds in order to restore the country from the depression. However, it was projected that the terrif halved the amount of imports the United States recieved, and thus, the terrif brought more harm to the economic state than benefits. -
Bank Runs
Bank Runs in the great depression sprouted from those responding to the economic crash in the stock market. People suddenly realized the extremity of the economic failure, and in order to secure what they had, rushed to the bank to secure. However, the runs overloaded the banks, where a severe amount of withdrawals greatly outnumbered the amount of deposits, thus, banks ran out of currency to supply the demand and were forced to close. This left many Americans unable to secure their wealth. -
Hoover's attempt to install Volunteerism
Volunteerism under Hoover involved him addressing buisnesses to volunteer to improve workers wages. The reasoning behind his policy revloved around the fact that the economic structure of the counrty should remain with little influence from the government. However, this policy was not taken up to a great extent, and was a major point in which proved Hoover's inablity to handle the Great Depression. -
Abandonment of the Gold Standard
With the price of the British pound slowing dragging the country into recession, the government was forced to abaondon the gold standard. This meant that it no longer equated the pound to a value of gold. This action would set Britaina into a steady economic recovery. -
Operations of the RFC
Major economica operations that were mangaged by the Reconstrction Finance Corporation. The goal of these operations were to provide economical aid to local governments. This allowed local areas to begin to operate again by stimulating the economy. This allowed buisnesses and banks to reopen, and made a step towards mending the depression over the course of a few decades. -
Bonus Army March
The Bonus Army March occured when thousands of veterans along with their families marched towards the Capitol building in Washington DC demanding their money that was promised to them for serving in WWI. Although the Bill that given them the certificates sated they could be redeemed in1945, the driving cause of this march was to demand the redemption of these certificates. In the end, the president was able to drive out the protesters, but it showed that the people had lost faith in government. -
Installment of the Emergency Relief and Constuction Act
The ERCA was the last straw under the Hoover Administration that would allow him to relieve the economy. This Act gave way to the RFC providing funds to local goverments. However, this was unable to gain much traction under his term, and thus was not given much notice in terms of sucess, as it did help the RFC gain abilities to help economies. -
FDR's inaugural address
The inaugual address that coined the famous saying, "the only thing to fear is fear itself," was a revolutionary turning point for many in the Great Depression. The speech of FDR was the initiation that would allow him to bring the country out of the Great Depression, The effect of the speech allowed people to feel recognized by the government and to once again gain some faith in their ability to control the depression. -
First Fireside Chat
30 fireside chats were conducted by FDR during the Great Depression. The goal of these fireside chats, which were projected over radio to the masses, served as a way for FDR to personally address the nation informally. Two essential points can be drawn from these chats: The fact that the people finally could fully hear the intentions of the government, and that those intentions restored faith in the people for American Government. -
Creation of New Deal
The New Deal was a series of social programs enacted by FDR mainly in 1933-1936. The purpose of the series of laws and enactments were to get people of the country jobs in order for them to make a living. While many believe some ideals were unconstitutional, the New Deal was FDR’s main weapon that helped him control the depression. -
Beginning of the FDIC
The FDIC (Federal Deposit Insurance Corporation) is insurance corporation that protects the wealth of those who keep their money in banks. This was in response to the bank runs and the Great Depression, when people were not able to secure their wealth. This new act allowed people to have a gaurentee to their wealth, thus avoiding the absense of wealth in case another depression ensued. -
"Dust Bowl" Severe Duststorms
The Dust Bowl was a name given to a series of dust storms that devastated the countryside and farmlands of the United States. Also known as the Dirty Thirties, the bowl became a major devastating wipeout of agricultural processes due to the inability to implement any dry land farming, and the effects of the Dust Bowl wiped out many farmlands. Many farmers were forced to abandon their farmland, and move to industrialized. were forced to abandon their farmland. -
Court Packing (Judicial Procedure Reform Bill)
This bill was enacted by FDR during the Great Depression. The aim of the bill was to include more justices into the Supreme Court. The underlying reason was he could appoint judges that could swing the votes passed through the system, in favor of FDR. This would accelerate his ability to create New Deal programs. However many were quick to point to this as an abuse of power. Thus, the bill failed to gain any traction. -
Publication of Grapes of Wrath
The novel Grapes of Wrath was an accurate represntation of the feelings of those effected by the Dust Bowl. The novel involves a farmer who is effected by the duststorm wiping away his home and farmland. The significance of this publication was the fact that it accuratly showed the reation of farmers towards the Dust Bowl and harsh conditions they faced during the Great Depression.
