ACHIEVEMENTS &
CHALLENGES
THE GREAT DEPRESSION
AND THE WELFARE STATE
ACHIEVEMENTS AND CHALLENGES:
ECONOMIC SECURITY & SOCIAL JUSTICE
Essential Question: How did Canada establish economic security and social justice from the
period of the Depression to the partition of the Constitution?
Essential Understanding:
• The role of government and the division of powers and responsibilities in Canada’s federal
system are subjects of ongoing negotiation.
• The history of Canadian citizenship is characterized by an ongoing struggle to achieve equality
and social justice for all.
ORIGINS AND IMPACT ON PEOPLE’S LIVES : THE ROARING ‘20S
• The First World War ended in 1918.
• By 1924, Canada’s economy was booming.
• Canada was selling lots of products to other countries (exports), especially wheat,
newsprint, lumber, and minerals.
• Within Canada, more people were buying consumer goods (cars, radios, etc.).
• Industrialization assembly lines meant that mass produced consumer goods could be
distributed quickly and more cheaply.
• People now began to buy big items like cars on credit.
• The stock market was booming, so investors also invested on credit.
CAUSES OF THE GREAT DEPRESSION
• Many people borrowed too much money
Example: Farmers borrowed lots of money for farm equipment. They planned to pay
it back after selling their wheat for higher prices.
However, buyers of the wheat in Europe were struggling with wartime debt. They
could not afford the wheat, so demand and prices for Canada dropped sharply.
Farmers stopped buying new farm equipment, sop the people who manufactured the
goods lost their jobs, etc.
• The economy slowed, and banks wanted their payments.
• People began selling their stocks to repay debt…
CAUSES OF THE GREAT DEPRESSION
• Black Tuesday: October 29, 1929. Stock prices around the world plummeted.
 Canadian stock exchanges lost approx. $1 million every minute the exchanges
were open that day.
• Many people lost their life savings and could not repay loans. Companies went out of
business. Thousands of people lost their jobs.
IMPACT ON PEOPLE’S LIVES
• All Canadians felt the impact of the economic bust
• Unemployment was rampant.
 In 1928, only 2.6% of Canadians were unemployed
 By 1933, 26% of Canadians were unemployed
 The prairies was hit hardest. At the height of the depression, 50% of the workforce was
unemployed.
The Prairies
• In 1928, a farmer earned 80 cents for a bushel of wheat. In 1932, he earned 35 cents.
• Severe droughts began in 1930, lasting on and off for a decade.
• Huge dust storms would block out the sun.
• Many farmers had to look for work in the cities.
HISTORICAL CONTENT TO STUDY : THE GREAT DEPRESSION AND THE
WELFARE STATE
The Great Depression
 Government response:
 R.B Bennett, Unemployment Relief Act (1931); relief camps and public service (1932); proposed New Deal in U.S. (1935);
Canadian Wheat Board (1935); Prairie Farm Rehabilitation Act (1935); and attempts to suppress Communism
 Mobilization and Protest: protest marches, On-to-Ottawa trek (1935); Regina Riot (1935)
 Trade Union movement: Workers Unity League; major strikes; creation of Congress of Industrial Organizations
 New political parties: the Co-operative Commonwealth Federation (CCF); Union Nationale; Communist Party
The Welfare State
• Old Age Incomes
• Medicare
• Unemployment Insurance
• Family Allowance
• Welfare
Task: Provide an understanding of the above events / terms. Suggested: Work in groups of 2-4. This
will not be handed in; it is for the final assignment. “Check in” with me. Information is in chapter
11 of your Shaping Canada textbook pp. 322-334
SOURCES
Adapted from Manitoba Education Curriculum: Social Studies Grade 11
http://www.edu.gov.mb.ca/k12/cur/socstud/history_gr11/cluster4.pdf
Shaping Canada textbook