Economic impact of the depression Flashcards
When was ‘black Thursday’
24th October 1929
When was the further fall to the NY stock exchange
29th October 1929
What happened in America as a result of the crash
Companies went bankrupt, workers lost their jobs and banks stopped lending and called in loans
What did American banks want from Germany
Immediate repayment of their loans
From 1929 to 1932 how much did trade fall by
61%
From 1929 to 1932 how much did production fall by
58%
Why did Germany’s foreign trade decline
Lack of buyers and falling prices
What areas of Germany were hit hard
Industrial
What were people doing in the banks
Withdrawing money and not repaying loans
What happened in May 1931 with regards to the banks
Collapse of Creditanstalt (an Austrian bank) led to financial crisis in Germany
What did the government do to banks in July 1931
Closed all banks and stock exchange for 2 days
How many people were recorded to be unemployed by 1932
1/3 of the country
How many workers estimated t be unemployed in 1933
8 million
What happened to the civil service
Severe staff cuts and wage reductions for those who remained
What happened to the farmers
Their prices collapsed, export in goods collapsed, food sales fell and many had to loose their farm for not being able to repay their loans
