Capitalism Unraveling: The Great Depression

Flashcards covering key concepts and events related to the Great Depression and its impact on global economies.

Great Depression

Worldwide economic contraction that began in 1929 with a stock market crash in the United States and continued until the outbreak of World War II.

Unemployment Rate

Soared to 30% in countries like Germany and the U.S. during the Great Depression.

Speculative Stock Market Frenzy

A situation in which stock prices were driven to unsustainable levels before the market crashed.

Investment Dried Up

A result of the Great Depression where investments significantly decreased due to economic instability.

Democratic Socialism

Political ideology that emerged in Western countries during the Depression, seeking greater regulation of the economy and more equal wealth distribution without resorting to dictatorial socialism.

FDR's New Deal

A series of programs and reforms initiated by Franklin D. Roosevelt to address the issues of the Great Depression, focusing on public spending and long-term economic reforms.

Import Substitution

Economic policy adopted by some governments during the Great Depression, aimed at reducing reliance on imported goods by promoting domestic production.

Economic Catastrophe

A significant adverse effect of the Great Depression on Western capitalism, leading to widespread unemployment and business failures.

Lázaro Cárdensas

Mexican leader who revived principles of the Mexican Revolution during the Great Depression, advocating for land reform and nationalizing foreign-dominated industries.

Nazi Germany and Japan

Countries that implemented the most successful efforts to cope with the economic challenges posed by the Great Depression.