Great Depression Of Cause
Great depression (GreatDepression) is the global economic crisis that began in 1929 and continued until 1939. Great depression has been most affected by the United States, Canada, the United Kingdom, Germany and France, but has been felt in other States. Industrial cities were the most affected, and construction has almost ceased in a number of countries. Due to reduced demand, agricultural prices fell by 40 to 60 per cent. Great Depression was synchronized, comprehensive and affected all sectors of the world economy. In fact, it was a global economic crisis, but its name was derived from the emotional state of society. People have indeed been put into depression.
However, our site is devoted to the United States, and it will be about how the Great Depression touched the United States, especially since the major impact of the crisis has been on the fast-growing economy of that country. Moreover, many have had a misconception that the Great Depression is a crisis exclusively in the state economy.
Given that our article is of a faculty nature, most economic terms, as well as specific facts, will be omitted, but it will not be possible to delete them completely from the article without prejudice to informativeness. It's a story more about what happened in the lives of the American people, not about the U.S. economy.
So, the recession, a significant steady decline in the United States economy, began in August 1929 (notice that the Great Depression had begun in America), while some sectors of the economy, in particular construction, had fallen since 1926.
In terms of economic theory, the Great Depression of 1929 in the United States came into effect as a result of the reproducing of goods and the lack of money to buy those very goods. Since money was tied to gold and the quantity of the metal was limited, there was a shortage of money and then a lack of solvency for goods and services. The chain is followed by " snow com " : a sharp fall in prices (deflation) for goods, bankruptcy of enterprises, unemployment, import tariffs, consumer demand and a sharp fall in living standards.