1. WORLD WAR I & the 20’s ECONOMICS XII
JACQUELINE, ANNE, SEAN

2. Table of Contents
Death & Debt The rise of communism Canada and the 1920’s Economic Theory Bibliography III VII VIII XI V

3. DEATH & DEBT
The First world war brought profound changes in Canada. The victories at Vimy Ridge (1914) and Passchendale (1917) distinguished Canada as a strong elite force. However, approximately 13,ooo,ooo were killed worldwide during the war and creating debt that took decades to pay off. Ways to pay the debt during that time: -Victory Bonds -Income Tax -Corporate Tax -Honour Rationing

4. Today’s Canada Savings Bonds are the direct descendants of these wartime efforts. -a safe and secure savings product, fully guaranteed by the Government of Canada to help Canadians reach their savings goals. ) Superiority in the quantity, and in many cases quality, of material was a major contributing factor to Allied victory in THE CANADIAN MUSEUM
Chinese labourers construct light railway leading to the front. To release more soldiers to fight, armies relied on paid labourers behind the lines. © George Metcalf Archival Collection

5. After the war, the Canadian economy went into a short slump
After the war, the Canadian economy went into a short slump. Canadian soldiers find out that there were few support services for them. Many Canadians who had jobs were also dissatisfied. Inflation made it difficult for them because the wages no longer cover the cost of rent and food. Inflation: the rise of prices for goods and services that increases the cost of living and triggers the demand for higher wages. There were numerous strikes across Canada and many strikes were long and bitter disputes.

6. Some western union leaders in Canada were more socialist
Some western union leaders in Canada were more socialist. They want the labourers to gain more control in the industry and government through peaceful means so they founded OBU which stands for ONE BIG UNION. Socialist: believing in a system in which the government controls the economy so that everyone benefits regularly.
Winnipeg General Strike in 1919 ©CPHA

7. The rise of communism
Bolsheviks established a communist regime during and encouraged people around the world to join their revolution. The ideas of the Bolsheviks inspired workers in Canada to try improve working conditions however communism never gained widespread support in Canada.
The Communist Party of Canada/ Parti communiste du Canada is a communist political party in Canada founded in 1921 under conditions of illegality.

8. PRIME MINISTER: ROBERT LAIRD BORDEN (1911-1920)
He committed Canada to provide half a million soldiers for the war effort.
Borden wanted to create a single Canadian army, rather than have Canadian soldiers split up and assigned to British divisions

9. CANADA AND THE 1920’s
Canada began the 1920’s in a state of economic depression. By the middle of the decade, the economy started to improve. The things that Canada exported at that time: WHEAT, PULP, PAPER and BASED METALS. The expanding forest and mining industries also increased the demand for hydroelectric power to provide Canadian industries with cheap energy.

10. During the 1920’s, American investment in Canada increased
During the 1920’s, American investment in Canada increased. American companies invested in pulp and paper mills across Canada. Almost 75% of the newsprint produced in Canada were exported in United States and most of the metals mined in Canada were used in American-made products such as radios and cars. American investors preferred to set up branch plants in Canada to avoid tariffs.
Ford’s first international plant in Walkerville (now, Windsor) Ontario. ©Ford Motor Company

11. Companies wanted to expand and in order to raise money, they issued shares and stocks where they bought it believing that the economy would do well. During 1920’s, the investors were buying shares “on margin” with the exception that the value of the shares will be enough to pay back the loan and make a profit. In October 29,1929, the New York Stock exchange collapsed followed by Toronto and Montréal Stock Exchanges.
Montreal soup kitchen, By 1933 some 1.5 million Canadians were on some form of relief. © National Archives Canada

12. ARTHUR MEIGHEN ( , 1926)
He nationalized several private transportation companies and uniting them with others in the Canadian National Railways.

13. ECONOMIC THEORY
MARGINALIST- In marignalist theory, prices depended on supply/demand, customer satisfaction, and cost of production.
For example, at the beginning of 1920’s, a shortage of wheat as a result of the First World War led to a higher price for Canadian Wheat, but when other countries started producing wheat, increased supply lowered the prices. Another example would be where many investors were buying “on margin.”

14. MARXIST- Struggle between social classes specifically between the bourgeoisie and proletariat (workers and employers).
Example: The Winnipeg General Strike, where capitalists’ interests lie in securing their power and expanding profits. But workers, on the other hand have interests in higher wages, safe working conditions, shorter hours, job security etc.
Karl Marx (May 5, March 1, 1883)

15. BIBLIOGRAPHY SOCIALS 11 TEXTBOOK
in9-wwi/canadian-industry-in-wwi
war-wwi/
during-the-war/the-war-economy/finance-and-war- production/
Economy.html 

16. THANK YOU!
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