The Great Depression
Today you need:
Notes from last class
Pencil
Paper
Textbook
***Quiz on Thursday March 20th
The Great Depression
• The Stock Market Crash- October 29, 1929
– The end of the Roaring Twenties
– Also known as Black Tuesday
• Stocks- a share in the ownership of a company.
• You could buy a share in the company and the
money would go towards developing new
products or helping the business.
• In turn, a stock holder would have a share in
the company’s profit (dividend). They could
keep their money in the business, it would
generate interest and could be cashed out
whenever the share holder wished.
Downfall of Investing
• People ignored the risks of investing.
• Stock values fluctuate (go up and go
down) and investments are not
guaranteed.
October 24, 1929
• Share prices began to fall on the NY Stock
Exchange and continued to fall over the next
few days.
• Shares became worthless.
• By October 29, 1929, thousands of investors
attempted to sell their stocks.
• No one wanted to buy them and in turn, the
prices fell even more.
• This is known at the stock marked crash. The
end of the Roaring Twenties and the beginning
of the Great Depression. (See figure 6.13)
1) Create a web to show the factors that caused
the Great Depression. Design a code in your
web to differentiate the causes in terms of their
impact. This could be by colour, size, or some
other indicator. (15 lines)
2) How could investing both help and hurt the
economy? (4 lines)
3) Could the Canadian government have
prevented the Great Depression in Canada?
Explain your views.
Read from the bottom of page 96 to the top left
hand side of page 97.
Answers
2)
Investing helps the economy by providing a greater cash
flow for companies so that they can expand and purchase
equipment, hire more workers, etc. It also allows
individuals to share in the profits and earn more money for
their personal use. It hurts the economy when companies
and individuals overextend themselves. It can create a
false sense of security that can lead to economic collapse.
3)
A) Government should have been more alert to the growing
problem and should have taken steps to prevent the crash
and other conditions that led to the Depression.
B) It was an international depression and may have been
inevitable.
Effects of the Great
Depression
Today you need:
-notes from last class (with this title)
-pencil
-textbook
William Lyon Mackenzie
• Prime Minister of Canada in 1929 (leader of the
Liberal Party.)
• Was defeated in a federal election that year by
Conservative R.B. Bennett.
• Bennett promised to work towards fixing the
current economic problems.
• Bennett’s government gave 20 million dollars in
aid to the provinces that was used to help get
people back to work.
Did Bennett’s government
succeed?
• He continued with these policies for four
years.
• Instead of conditions becoming better,
they worsened.
• Do not copy: Turn to page 85 and look at
figure 6.2
– Answer this question: Why do you think these
converted cars and trucks were given this
name?
Social Conditions
• Unemployment rates continued to rise
– Unskilled labourers, small business owners,
farmers, young people could not find work.
• Conditions worsened for already disadvantaged
groups experiences. (working women, the poor, First
Nations, visible minorities)
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•
•
•
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Luxuries vanished for many
Essentials vanished for many
People could not afford shelter or food
Diet related disease became common
People tries everything to get by (doorto-door sales, begging, borrowing,
asking for charity)
• Asking for public relief “the dole” or
“pogey” was the last resort.
Questions (pg 97-102)
1) a. Who was R. B. Bennett? (3 lines)
b. Based on the following derogatory terms, explain how
people felt about him: Bennett barnyard (an abandoned
Prairie farm), Bennett blanket ( a newspaper), Bennett
coffee (roasted wheat), eggs Bennett (broiled
chestnuts). (5 lines)
2) How did people try to cut expenses during the Depression?
(3 lines)
3) How did people try to escape the harshness of life at this
time? (3 lines)
4) How could the CBC influence Canadian identity? (4 lines)
Answers
1) a. R.B. Bennett was the leader of the Conservative Party that
defeated McKenzie’s government in 1929. His government
attempted to fix the economic problems of the day but was
unsuccessful.
b. Based on these terms, it is evident that the people of Canada
did not think highly of Bennett and blamed him for the state of
the country at that time.
2) People tried to cut expenses by:
– Eating less expensive foods or just eating less.
– They wore hand-me-down clothes.
– People tried everything to find work, including going door-todoor to ask for work.
– Some asked for charity or public relief.
– Children quit school to save money and to help out at home
or go to work.
3) Those with electricity turned to their radios. Big-band
music became very popular. For those who could
afford them, the movies offered an escape from the
Depression.
4) The CBC began to develop a Canadian radio network
to promote Canadian programs. The National Film
Board was also interested in creating films with
Canadian themes.
Writing Activity!
• Create three (3) entries for a journal, log,
or diary that reflect the emotional, social,
and economic impact that the Depression
had on someone living in Canada during
the Depression. You can express your
feelings, and reflections using written and
visual entries.
**handout for everyone