Everyone has heard of the Great Depression that America endured in the 1930s.The Great Depression changed America and American ways forever. The Great Depression, which lasted over a period of ten years, resulted in a lot of side effects for many nations worldwide . The worst of the Great Depression lasted between 1929 through 1933. The Great Depression went down into history as being the worst economic event in the United States. It is still recognized for being the longest depression that has ever been in the Western hemisphere. The Great Depression originated in the United States causing drastic declines in production, severe unemployment, and heightened deflation in almost every country of the world. Even today economist and historians are trying to analyze what really happened in the Great Depression, along with the true causes that created this crisis. Even though the Great Depression will be forever stamped in history books as the economic meltdown of the twentieth century, Americans can learn to oversee and what lies before us by understanding what put us in that dark place to begin with. My goal in this paper is to depict the causes, happenings, and after affects of those dark days. .
People thank declines in consumer demand, financial panics, along with misguided government policies to the dismay of the drastic decline of output. The decline of economic output was due to a decline in demand . One of the main causes that added to the Great Depression's radical decline of economic output was the New York stock market crash of 1929. Leading up to the largest crash of 1929, was the steady increase of stock prices between 1921 through 1929. In order to slow the growing prices of the stock market, the Federal Reserve stepped in and increased interest rates. With the increase of interest rates people stopped purchasing as much, especially in areas such as manufacturing, which in turn reduced production.