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Partner Discuss Part I & II 1 st – Review Difficult Questions & Ask Questions you did not understand 1 st – Review Difficult Questions & Ask Questions you did not understand 2 nd – Once all questions have been answered & identitfied….review all questions for remaining time. 2 nd – Once all questions have been answered & identitfied….review all questions for remaining time.
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Questions & difficulties from Depression Part I
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Main Reason for the Stock Market Crash People who invested early (in early 1920s), began cashing in their stocks (selling) for high profits. People who invested early (in early 1920s), began cashing in their stocks (selling) for high profits. People who bought stocks for $100 & sold for $500 People who bought stocks for $100 & sold for $500 Then…other people who “followed” into the market (late 1920s)…began following OUT of the market. Then…other people who “followed” into the market (late 1920s)…began following OUT of the market.
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Potential Dangers of “Buying on Margin” You are buying something & you don’t have enough money to ACTUALLY buy it! You are buying something & you don’t have enough money to ACTUALLY buy it! My money = $500 My money = $500 I buy something = $100 I buy something = $100 Still have = $400 Still have = $400 On margin My money is $75 Buy = $100
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Present Day “Buying on Margin” Direct example = a House Mortgage (10% of the house…90% from bank) Direct example = a House Mortgage (10% of the house…90% from bank) Other indirect examples – Credit Cards, Bank loans, credit lines, investment loans Other indirect examples – Credit Cards, Bank loans, credit lines, investment loans
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What does Saskatchewan suffer the most? Wheat was the main product / industry / export for Sask. Wheat was the main product / industry / export for Sask. Overproduction (price of wheat decreased less income for farmers) Overproduction (price of wheat decreased less income for farmers) Dust bowl land became useless (no farming on the land) Dust bowl land became useless (no farming on the land) Because of overproduction & bad farming Because of overproduction & bad farming
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How did close connection to USA make depression worse for Canada How did close connection to USA make depression worse for Canada They are Canada’s main trading partner They are Canada’s main trading partner Largest investor in Canada Largest investor in Canada USA (Parents) Canada (Child) USA (Parents) Canada (Child) Parents have no money….child has no money! Parents have no money….child has no money!
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Why USA went into depression? Stock Market Crash Stock Market Crash $500 million was lost in a year… $500 million was lost in a year…
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How Dustbowl Made Great Depression Worse? Destroyed streets, cars, houses, railways, public transportation (with Huge amounts dust) Destroyed streets, cars, houses, railways, public transportation (with Huge amounts dust) Destroyed their farms (families had to move to another place) Destroyed their farms (families had to move to another place) Destroyed their income & jobs Destroyed their income & jobs Negative impact on Wheat Production Negative impact on Wheat Production Can Cause famine (no food)….fragile economy of Saskatchewan (depended on Wheat) Can Cause famine (no food)….fragile economy of Saskatchewan (depended on Wheat)
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Depression Part I Causes of Depression
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Dust Bowl Video Clip 2min 50 seconds 2min 50 seconds Why DO farmers farm MORE during the 1920s? Why DO farmers farm MORE during the 1920s? HOW can farmers farm MORE during the 1920s? HOW can farmers farm MORE during the 1920s? Their ability? Or the motivation? Their ability? Or the motivation? Write 1 other thing down that stands out to you in this movie about the Dustbowl. (1 interesting piece of information Write 1 other thing down that stands out to you in this movie about the Dustbowl. (1 interesting piece of information
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Why and How can farmers farm MORE during the 1920s? (class 1) WHY: Earn $$ to rise out of Post War Depression WHY: Earn $$ to rise out of Post War Depression HOW: They used Knowledge of how to farm large quantities HOW: They used Knowledge of how to farm large quantities New Machines & New Technology (Tractors (“Trucks”) New Machines & New Technology (Tractors (“Trucks”)
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1 interesting piece of information from the Dust Bowl video (class 1) Even new technology can lose to the environment (Mother Nature always wins!) Even new technology can lose to the environment (Mother Nature always wins!) Did not consider moisture aspect of soil…so it turned into sand! (didn’t think there was any consequence to their actions) Did not consider moisture aspect of soil…so it turned into sand! (didn’t think there was any consequence to their actions) Overcultivated / Over production Overcultivated / Over production See a horse…that lead the tractors? (Horse was transition between human & man) See a horse…that lead the tractors? (Horse was transition between human & man) Dust bowl so serious (cars & houses were buried!! Schools were closed!) Dust bowl so serious (cars & houses were buried!! Schools were closed!)
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Interesting info cont’d 5 million tons of soil/dirt in the air & blew away! 5 million tons of soil/dirt in the air & blew away! Grand finale…it all grew back…mother nature was kind enough to give it back…and give humans another chance to NOT SCREW IT UP! Grand finale…it all grew back…mother nature was kind enough to give it back…and give humans another chance to NOT SCREW IT UP!
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Why and How can farmers farm MORE during the 1920s? (class 2) WHY: The world needed more wheat! (make a lot of $$) WHY: The world needed more wheat! (make a lot of $$) Greed…make more money if you can(use all the land) Greed…make more money if you can(use all the land) Growing population to feed in Canada & USA Growing population to feed in Canada & USA HOW: Technology Revolution (new machines to increase efficiency & increase output HOW: Technology Revolution (new machines to increase efficiency & increase output
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1 interesting piece of information from the Dust Bowl video (class 2) Sandstorm is so disastrous (air is full of sand..everything is dirty and clogged with sand) Sandstorm is so disastrous (air is full of sand..everything is dirty and clogged with sand) Loss of wheat consumers Loss of wheat consumers Foot print of the farmers…escaped and left their land because its useless! Foot print of the farmers…escaped and left their land because its useless!
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Why and How can farmers farm MORE during the 1920s? (class 3) WHY they farm more: WHY they farm more: Price of wheat was profitable Price of wheat was profitable High demand for wheat around the world (and also during WW1)…meant high production High demand for wheat around the world (and also during WW1)…meant high production HOW they farm more: HOW they farm more: They used New technology (Big machines that plow the soil) Machines = do more, be more efficient They used New technology (Big machines that plow the soil) Machines = do more, be more efficient
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Interesting information from the video (class 3) Dustbowl buried cars & houses Dustbowl buried cars & houses Lots of animals died (from duststorms) Lots of animals died (from duststorms) Sands completely took over farm land Sands completely took over farm land Terrible soil erosion & desertification DUE TO people overusing & abusing the machines Terrible soil erosion & desertification DUE TO people overusing & abusing the machines
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Depression Part II Response to Depression
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PM King ’ s Response Unprepared to deal with size of Depression (how big it was) Unprepared to deal with size of Depression (how big it was) Thought “ Ah, this is only a temporary thing ” Thought “ Ah, this is only a temporary thing ” PM Response: This is not a federal gov ’ t responsibility It is municipal & Prov. Responsibility PM Response: This is not a federal gov ’ t responsibility It is municipal & Prov. Responsibility Also, he did not want to give $ to any Conservative prov. Gov ’ t “ I wont contribute a 5-cent piece to any Tory (conservative) prov. Gov ’ t ” Also, he did not want to give $ to any Conservative prov. Gov ’ t “ I wont contribute a 5-cent piece to any Tory (conservative) prov. Gov ’ t ” His attitude => lost election, replaced by R.B. Bennett (Conservative) His attitude => lost election, replaced by R.B. Bennett (Conservative)
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PM Bennett ’ s Response Did not support government relief / help Did not support government relief / help “ One of the greatest assets a man can have on entering life ’ s struggle is poverty ” “ One of the greatest assets a man can have on entering life ’ s struggle is poverty ” Why? Why? When you are poor you have a dream & a purpose to not be poor When you are poor you have a dream & a purpose to not be poor Change your lazy mind / habits & struggle Change your lazy mind / habits & struggle Have an aim & desire…force you to work harder! Have an aim & desire…force you to work harder!
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$20 Million to Prov. Gov ’ t However, his Gov ’ t gave $20million to prov ’ s to create jobs However, his Gov ’ t gave $20million to prov ’ s to create jobs (ie. Build roads, dig ditches, etc) (ie. Build roads, dig ditches, etc) RESULT: Economy did not improve RESULT: Economy did not improve
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Tariffs will fix the problem!! Used Tariffs to fix the problem Used Tariffs to fix the problem PM Increased Tariffs by 50% to protect Canadian business PM Increased Tariffs by 50% to protect Canadian business RESULT= Other countries made tariffs against Canada products..decreased Canadian export RESULT= Other countries made tariffs against Canada products..decreased Canadian export
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Feelings toward Bennett RESULT: Canadians hated PM Bennett RESULT: Canadians hated PM Bennett Feared people would support Communist Party … Result … Communist party was banned in Canada Feared people would support Communist Party … Result … Communist party was banned in Canada
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Work Camps Located deep in the forest with no fun things to do Located deep in the forest with no fun things to do Paid men 20 cents per day + room & board Paid men 20 cents per day + room & board Bad living conditions Bad living conditions Result... Result...
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On-to-Ottawa Trek Started in British Columbia Started in British Columbia Men left the work camps and jumped on trains going to Ottawa (Capital city of Canada) Men left the work camps and jumped on trains going to Ottawa (Capital city of Canada) More men joined along the way More men joined along the way RESULT: They were stopped in Winnipeg … only the leaders were allowed to Ottawa RESULT: They were stopped in Winnipeg … only the leaders were allowed to Ottawa Result in Ottawa removed from PM ’ s office & protesters in Winnipeg were removed, arrested, or killed Result in Ottawa removed from PM ’ s office & protesters in Winnipeg were removed, arrested, or killed
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Purpose of On-to-Ottawa Trek Demand for better everything! Demand for better everything! Provide jobs for workers Provide jobs for workers Higher wages Higher wages Better working conditions Better working conditions Etc etc etc etc etc etc etc…. Etc etc etc etc etc etc etc….
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Situation of the world of 1930s Economic Recession / Depression Economic Recession / Depression People are not satisfied with their lives People are not satisfied with their lives On welfare On welfare Life is full of hardship & disappointment Life is full of hardship & disappointment No jobs No jobs No money No money No food No food Society is down… Society is down… Wanting change Wanting change They want someone to say I HAVE THE SOLUTION! They want someone to say I HAVE THE SOLUTION!
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Situation of the world in the 1930s Desperate Desperate Jobless Jobless People without food People without food People without money People without money All people want :…a SOLUTION! Who can fix our problems!? All people want :…a SOLUTION! Who can fix our problems!? Led to the rise of Fascist / Dictatorships Led to the rise of Fascist / Dictatorships
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Situation around the world in 1930s Economic Depression! Economic Depression! No / Little jobs No / Little jobs People are unsatisfied People are unsatisfied Low wages….poor living conditions Low wages….poor living conditions Tough access to food (high price / scarcity..scarce Tough access to food (high price / scarcity..scarce PEOPLE WANT A SOLUTION! They want a government & leader WITH A SOLUTION! PEOPLE WANT A SOLUTION! They want a government & leader WITH A SOLUTION! WHO Can fix this problem WHO Can fix this problem
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