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Great Depression Research Paper

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Aariq Clark
02/08/2016
Comp. & Grammar
Great Depression

The average income of the American family dropped by 40 percent from 1929 to 1932. In the years of 1929 through 1933, the population went through times of misery and extreme cases of poverty. This time was also known as the Great Depression. Because of the Great Depression, the world was struck financially, emotionally, and physically. During the 1920s, the stock market expanded tremendously, fast reaching its peak in August 1929. By that time, the unemployment rate had already increased. This left stocks in a extraordinary surplus of its value. In September through October of the same year, stock prices began to decline. On October 24, also known as Black Thursday, 12,894,650 …show more content…
In the 1930s, roughly over 3,000 banks failed. As they failed, banks became undependable and people's life savings were entirely lost. As December of 1931 was approaching, the New York Bank of the United States collapsed. Banks that put a lot of money into the stock market in order to stop the slide were unable to continue. More than $200 million was deposited into the bank at the time, which made it the largest single bank failure in American History.In 1933 alone, people who had money deposited in banks lost approximately $140 billion. Bank deposits were uninsured, thus causing them to fail. Those banks that survived stopped being as willing to make new loans. During this time, banks went through many foreclosures in attempt to regain some of the money they had lost. When they had to foreclose and sell their land, they couldn't make up the difference. As banks took all their assets that they pledged to the loan, families were thrown off their land and lost everything they …show more content…
There was a major decline in marriages which caused the trend of decreasing birth rates to accelerate in the 1930s. Even though the divorce decreased, the main decrease for the decline would be not being able to pay lawyer's fees. Since families couldn't pay rent, they became homeless. Those families who had money stashed away would live with other families in apartments or homes fit for a one-family residence. From the year 1929 to 1931, 50% of children entered custodial institutions. In many deprived families, children suffered greatly from malnutrition and poor clothing. The family income dropped 35% when Herbert Hoover was in office. As resources were being given, unemployed men felt like failures and left their families. 1.5 million married women were abandoned by their

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