The Time Between the Wars The Roaring 20s and the Great Depression

The Great Depression When the United States stock market crashed on October 29, 1929, the world’s economy collapsed.

The Early 1930s nations struggled through depressions businesses went broke millions of people were out of work banks closed poverty spread throughout the world The climate was perfect for the rise of dictators such as Adolf Hitler (Germany) and Benito Mussolini (Italy). This period is known as the Great Depression.

London in 1930 Paris in 1930

United States October 29, 1929 (the day the US stock market fell) is known as Black Tuesday. Many investors lost everything At one point, ¼ of all Americans were unemployed. Breadlines and soup kitchens were set up to feed the poor. Many of the urban poor lived in shanty towns called Hoovervilles (named after President Herbert Hoover, the president at the time of the beginning of the Great Depression).

Germany Germany depended heavily on American loans. The Wall Street Crash (Black Tuesday) placed more pressure for Germany to repay US loans. rampant hyperinflation = useless currency massive unemployment (5 million in 1932, 20% of total population) production fell 40% Germany turned to Adolf Hitler and the Nazi Party to solve the German economic crisis.

The deutschmark Germany’s currency

The deutschmark in 1923 was only good for making kites

…and burning in a stove for heat.

Germans wanted someone to blame for their misfortune. The Nazi party offered Jews as the scapegoat. Children were often organized in youth groups and taught Nazi dogma. Germans were told to boycott Jewish businesses. Kristallnacht (the Night of Broken Glass) was a night of destruction aimed at Jewish homes and businesses.

Who will save Germany? http://www.5min.com/Video/Adolf-Hitlers-Rise-to-Power-516911251