The Great Depression was a severe worldwide depression began in 1929 and in many countries lasting until late ?? 30. It has been the most severe depression of the 20th century. Often it is exemplified how far can have a depression consequences for the population. The depression had significant consequences for the income, international and national trade and unemployment. The initial result was a stock market crash on October 29, 1929.
This follows the theory of British economist John Maynard Keynes. His idea was that the reduced production of the country was the cause of the decrease in income and the higher than average unemployment. He expected that if the expenditures of the private sector shall be included in these difficult times the government a country can get out of a recession. His advice to the government was to spend more and reduce the load.
The monetarists were a group who felt that the Great Depression was caused by a monetary contraction. These institutions are less inclined to lend money to each other, among other things. This was due to the bankruptcy of the New York Bank of United States. They assume that it is beneficial to keep a failing bank afloat, for example through subsidies from the government.
The Weimar Republic was severely hit by the depression. American loans to Germany were put stop and unemployment rose to a high level resulting in extremism. When the unemployment rate was 30%, around 1932, arose including the NSDAP and the KPD
In our country took the depression of 1933-1936, significantly longer than in most other countries. It had a more gradual onset compared to the US Possibly, the prolonged attachment to the gold standard a role in the duration of the crisis. Fascism was then on the rise, resulting in the creation of the NSB. There was some increase in unrest, remained an increase in strikes during the crisis years. In 1938 a change took place, it was time to invest in the army in connection with an increase in hostility from Germany.
The Soviet Union's Communist state with very little international business experienced stable growth. In the West, this was at the time seen as a successful system.
1929 of the Great Depression