INTERWAR – DEPRESSION AP World History

The Great Depression  Aftermath of World War I  Social and Cultural Change (esp. in Europe) Veterans Family Values emphasis to encourage population growth

The Great Depression  Aftermath of World War I  Roaring Twenties Social mobility Woman’s Suffrage Conspicuous Consumption

The Great Depression  Depression – low production, high unemployment, high poverty  Recession – less severe depression  Inflation

The Great Depression  The Great Depression  Capitalism failing  Longest, deepest, and most widespread depression in history

The Great Depression  Failure of Capitalism  Immense social inequities  Boom and Bust cycles  1929 (Stock Market Crash in NYC) spurred the greatest depression the world had and has yet to see  Characteristics  Loss of work Massive unemployment (US and Germany > 30%) Vacant factories, soup kitchens, shantytowns, etc.

The Great Depression- Why?  Economy in US “too good”  Overproduction (farms and factories)  Income inequality  Overspeculation in stock market  No government regulation  Globalization meant the Great Depression was felt worldwide  Europe indebted to US Germany and Austria needed loan for reparations Britain and France needed reparations to pay back US

The Great Depression- Effects  US response  New Deal  European response  “democratic socialism” – Britain, France, Scandinavia  Fascism – Nazi Germany, Italy, Spain No country was entirely successful in ended the Great Depression…but World War II was.

The Great Depression- Response  US response  New Deal  European response  “democratic socialism” – Britain, France, Scandinavia  Fascism – Nazi Germany, Italy, Spain No country was entirely successful in ended the Great Depression…but World War II was.

The Great Depression- Effects  Depression challenged governments of capitalist countries  Communism vs. Capitalism  Soviet Union appeared to be far more economically stable

The Great Depression- Effects  The Vicious Cycle  Without money, people stop buying goods…  When people stop buying goods, businesses stop producing more goods  When business isn’t producing, they lay off workers  Unemployment skyrockets…more people can’t buy goods…and the cycle continues  Many lose everything they own, including homes