Economy in 1920s
Economy in
1920s
Jacqui Yang Billy Chen
Marcus Li Nicholas Glavas
Introduction
Canada was finding itself as a nation as a young global power after first world war
Earned recognition, allowed it to be seen as more than a piece of the British Empire
Booming Economy-1920s
Central and Western Canada had begun to recover and entered a great period of growth
Agricultural production increased in the
Prairies and mining activity increased in
Central Canada and BC
Increased trading with US due to the large demand for pulp and paper, also, avoid a tariff on products imported to
Canada
Electricity was in wide-spread use in
Canada’s urban cities
Employment increased, more workers could afford to buy new technologies
Start of a consumer society
Wheat on the Prairies
The Prairie provinces enjoyed huge wheat crops from 1925-1928
World price of wheat moved steadily upward
Some farmers organized wheat pools and cooperatives to loan money to other farmers at lower interest rates than eastern Canadian bankers charge
Pulp and Paper
Production of newsprint became Canada’s largest industry after agriculture
Most of the American sources of pulpwood were in decline, and thus US provided a ready market for Canadian pulpwood
However, this boom had affected Canada’s forestation
Canadian economy also became increasingly dependent on the export of raw materials
Hydroelectric power
Quebec and Ontario saw a dramatic increase in the production od hydroelectric power in the 1920s
People were demanding electricity for their homes, especially when a new electrical appliances became available
Oil & Gas
The 1920s were also = The “ Oil Age”
In October 1924, oil speculators struck in Alberta which drilled one million barrels of oil and large quantities of natural gas
Mining
Exciting New mining were made in the
1920
Large deposit of copper were found in the Canadian Shield near Noranda and
Northern Manitoba
By 1929, Canada was producing almost
80% of the world’s supply of nickel
Foreign Investment
After World War I, American foreign investment in Canada increased
Theses American investors introduced a branch plant system, in which an American parent company produced the same products in the United Stated, however a
Canadian branch plant was able to produce the same products with a “made in Canada” label
Stock Market
People from every walk of life and almost all economic classes began to put money into the stock markets in
20s
By 1928, a stock market boom had begun
What cause the stock market crashed in the
1920s?
After the Crush
A whopping 400,000 were unemployed, and many people who did have jobs were earning les than subsistence pay
In Toronto, a family of seven received food vouchers worth $7 a week
In Saskatchewan, a family of five was given
10$ a month, along with a 98-pound sack of flour
Tariffs
1920s, about 25% Canadian Gross
National product derived from exports
The federal government introduced tariffs to protect Canada’s manufacturing and industrial base
High Tariffs Chocked of International
Trade
Video
https://www.youtube.com/watch?v=
Xn6UYT6_gfI
Conclusion
The economic boom made life easier for many Canadians and in some ways it brought people together
