WW1 ends – The ending of WW1 meant that the European countries were able to meet their own demands and therefore did not need any more supplies from America. Farmers suffered from overproduction and could not afford to keep their homes or pay mortgages, some farmers even decided to become sharecroppers. In 1924, 600,000 farmers went bankrupt. Also, there was stiff competition from Canadian, Australian and Argentinean farmers who were selling vast amounts of grain to the world market. Over-production – Fewer products such as cars, consumer good etc were not being sold as factories were making more goods than Americans needed or could afford to buy.
On Black Thursday, The Wall Street Crash of 1929, October 24 also known as the Great Crash was terrible, it was the worse stock market crash ever. The market crash was one of the major causes that led to the Great Depression. There was a huge crowd of people trying to withdrew there life saving but couldn't. They were left with loans and debt they couldn’t pay. Two Months after the crash , stockholders had lost more than $40 billion dollars.
The populist movement was a period in history where America was plagued with a lot of corruption and economic issues. The gold standard was causing deflation, the farmers were trying to gain political power, many businesses were being monopolized, and so much more. The gold standard was one of the biggest debate points of the election of 1896. William Jennings Bryan, the Democratic candidate, was a large supporter of free silver. Free silver, if put into the economy, would most likely cause inflation and help the farmers.
The first signs of disruption that led to the general strike was the fact that other countries such as Poland were becoming a more predominant exporter of coal, and the only way to stop Britain’s coal industry was to higher the price of coal, extend miners working hours and reduce pay. Obviously not favoured by the miners. Many British mines were old and needed modernisation, mine owners didn’t want to do this and there was a feeling of the miners wanting the mines to be nationalised. To make matters worse, the government decided to put Britain back on the gold standard, the pre-1914 exchange rate. British coal exports were more costly, this again led to mine owners wanting wage cuts and longer working hours, however these were rejected, this lead to multiple threats of a lockout, were the miners wouldn’t get paid al all as the were not allowed to work.
These are most important reasons h resulted in the TUC calling a general strike in 1926. An important reasonch year due to the awful and dangerous working conditions.This infuriated the miner unions and as a result a general strike was planned for May which had the TUC's full support Political reasons: Dawes Plan dramatically reduced the amount of money Britain made exporting coal. In 1925 when the plan was put into action Germany were enabled to pay off their outstanding debts from WWI by exporting “free coal” to other EU nations as a way to pay off their debt. As a result the British mining industry was hit heavily financially and wage reductions were reduced which angered the mine
John majors government came into office after the downfall of Margret Thatcher, which ultimately created divisions within the party. Not only did the party suffer from the internal conflict but also faced the problems of the recession after the ‘Lawson boom’. In order to stabilise the economy he joined the ERM getting a good deal but ultimately resulting in ‘black Wednesday’ causing Major to raise interest rates to 15%. This was political suicide and he soon lost the support of the press we had once relied so much on to get re-elected in 1992. The housing market also plummeted leading to negative equity, which the majority of the working class could not afford resulting in the repossession of their houses combined with the drastic increase in unemployment Britain was in a mess.
Many people did not have money to spend in businesses and businesses also took out loans that needed to be paid back. However, without business they were not making any money resulting in business failure. This also hurt the economy. After the war the price of grain dropped and farmers
Perhaps the worst economic downturn in the history of the United States occurred from 1930-1939. The Great Depression led to domestic and international crises effecting the poor and wealthy alike. Many financial experts today continue to debate the cause of The Depression, although most agree that several events led to the economic decline. The famous stock market crash on October 29, 1929 is just one of many causes economists believe led to The Great Depression. Known also as Black Tuesday, October 29th left stockholders shattered with recorded losses reaching $40 billion dollars (Kelly, n.d.).
Bartering had been common in medieval times which show how people resorted to previous looked down upon activities. Pensioners on fixed incomes suffered as pensions became worthless. Restaurants did not print menus as by the time food arrives…the price had gone up! The poor became even poorer and the winter of 1923 meant that many lived in freezing conditions burning furniture, or in some cases, banknotes, to get some heat. The group that suffered a great deal - proportional to their income - was the middle class.
After the crash of the stock markets, the demand for agricultural goods during WWI disappeared, and as a result, rural areas of America experienced severe adversity. Banks prevented farmers from obtaining mortgages, and due to this countless businesses failed. Overproduction begun to take place in major businesses and factories, due to the fact that workers could not afford the products they helped manufacture. Numerous banks failed, and many