America in the Great Depression

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For more than a decade, from 1929 to 1940, America’s economy failed to operate at a level that allowed most Americans to attain economic success. A worldwide depression struck countries with market economies at the end of the 1920s. Although the Great Depression was relatively mild in some countries, it was severe in others, especially in the United States. The Great Depression left the American economy in ruins with problems that would take decades to fix. Government involvement increased in an effort to reconstruct our recession stricken economy.
The 1920s was a time of economical prosperity. The economic growth was fueled by government spending, increased productions of domestic goods, and the productions of the automobile. In the 1920s new form of payment was introduced, it was called credit. Credit meant buying a product, and paying it off little by little. This increased spending drastically. People began spending carelessly, simply because they could. This type of spending was followed by an unbelievable amount the debt. This was yet another contributing factor for the initiation of the Great Depression.
The beginning of the Great Depression can be accredited to the crash of the Stock Market on October 29 1929. The 1920’s had been a strengthening economic era, prices had stayed the same in all areas except one, the stock market. By the fall of 1929, U.S. stock prices had reached levels that could not be justified by reasonable anticipations of future earnings

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