The Wall Street Crash and the Great Depression Flashcards
Who died on 3 October 1929?
Gustav Stresemann
When did the Great Depression begin?
October 1929
What did people do as the Wall Street Crash began in New York?
Sold their shares before their investments fell further
How much had investors lost in one week as a result of the Wall Street Crash?
$4,000 million
How did banks in America respond to the Wall Street Crash?
They recalled the short-term loans they had given to Germany as part of the Dawes Plan
How did German people respond to the Wall Street Crash?
They took their money out of their bank accounts, fearing the banks would not let them access their money
How did banks in Germany respond to the Wall Street Crash?
They demanded the money they had lent to German businesses in industry and agriculture
What impact did the Wall Street Crash have on German industries and farms?
They had to scale back production or even close down
What impact did the Wall Street Crash have on German industrial production by 1932?
It was at 40% of its 1929 level
What impact did the Wall Street Crash have on German workers?
They became unemployed
How did the Wall Street Crash create a downward spiral for German industry?
Unemployed workers became poorer
Poorer people couldn’t buy as much
Less buying meant sales fell
Falling sales meant companies were forced to make more workers unemployed
Etc
What proportion of German workers were unemployed by 1932?
One in three
Why might unemployment figures have been even higher in reality in Germany during the Great Depression?
Many women who lost their jobs often failed to register themselves as unemployed
How many German workers were unemployed when Hitler became Chancellor in January 1933?
6.1 million
What impact did the Great Depression have on unemployed people in Germany?
Unemployment benefits were cut, and the national government gave the responsibility of helping them to local authorities
How many people was the Weimar Republic’s benefits system designed to support? Why was this a problem during the Great Depression?
800,000
It could only provide relief for a few months
For those still in work during the Great Depression, how were they impacted negatively?
Real wages in 1932 were at 70% of 1928 levels as employers cut hours in response to a collapse in demand
How did the Great Depression affect homelessness?
People could no longer afford rent and lived in makeshift houses in shanty towns
