The Great Depression

1030 WordsApr 4, 20155 Pages
The Great Depression was one of the darkest economic times in American history, that ultimately helped the nation reinvent itself. The three main cause of the Great Depression were Uneven wealth distribution, Major consumer debt, and Speculation by many investors. Uneven wealth distribution in the US caused major problems for the economy of the country. As shown in Document 8, Some people pay more for the same product. One of the boats may have a special design, however they are both made with the same materials as the custom boats. Both models receive the same care and service. The wealthy only have to pay 10K for the same quality boat, same care, same build materials, and the the lower class has to pay 35K. This relates to the Great Depression, because as more and more people were becoming unemployed, the limited amount of money left in the country, was going to the wealthy. these top 2% of Americans usually receive special benefits and discounts. Document 9, shows that more than half of the United States lived below the poverty line which illustrates that wealth was unevenly distributed between the rich and poor. Many believed that companies produced more goods than the economy could purchase. This was a result of many not making enough income. It was argued that government should intervene by an increased taxation of the rich to help make income more equal. Also noted by the chart, the wealthiest 5% of the US Population received 33% of the nation 's income. As many were

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