Wall Street Crash
The 1930’s began after the devastating Wall Street Crash of 1929, which was the most damaging stock market crash in American history. The decade leading towards this was known as the roaring twenties and rightly so as it was a time of luxury and excessive wealth, although in contrast was responsible for the economic downfall to come. The crash marked the beginning of the Great Depression which left all Western Industrialized countries affected and continued for the next ten years.
The wealthy minority of the population barely managed after their loss, where as the majority couldn’t afford to lose anything. Because of this people couldn’t afford to purchase commercial products or spend money in general. This resulted in the closure of shops and factories which leading to heavy unemployment. At this time there were no systems in place for the unemployed, fortunately charities were there to help provide food and shelter for the needy.
In contrast to these charities the American government did very little to help the population. The republican president in power, Herbert Hoover did not believe the economic downfall would persist.