2025 T1 Gr11 political & economic causes of the Great Depression

Page 1: Cartoon Analysis

Source Name: "Watch Your Step!" Cartoon, LA Times, 1925
Observations: Identify objects, words, and actions in the cartoon.
- Look for caricatures, symbols, and text.
Interpretation: Consider potential sarcasm or irony.
Implication on U.S. Prosperity: The cartoon likely suggests a critique or caution about the overconfidence in U.S. prosperity during the 1920s.

Focus: Inquiry into the political and economic causes of the Great Depression in the U.S.

Research Area: Political and economic causes of the Great Depression in the U.S.

Start: Late 18th century
Key Changes:
- Growth of cities and transportation links
- Improvements in agricultural productivity
- Emergence of factory systems and mass production
- Changing working conditions - labor increasingly industrialized
Regional Impact: Western Europe and Northern U.S. industrialized rapidly while other regions lagged.

Advancements:
- Agricultural machinery and railway expansion
- Rise in mass consumption of agricultural products
- Availability of cheap industrial products
Economic Dominance: European powers and the U.S. gained significant influence over global markets.

Gold Standard: Countries based currency on gold reserves, ensuring stable prices; avoided major currency fluctuations.
Financial Networks: Development of complex banking and stock markets in late 19th century.
Capitalism:
- Promoted trade and innovation, provided loans to governments.
- Also brought instability; stock market crashes were common.
Perspectives: Varied views on capitalism - detrimental (Marx) versus self-regulating (laissez-faire).

Effects on Economies: Germany’s economy was devastated.
Shifts in Global Power: U.S. emerged as the leading economic power post-war.
International Dynamics: Events in Europe post-Bolshevik Revolution altered global commerce, leading to disruption in trade.

Global Agricultural Prices: Prices fell significantly.
End of Free Trade: Resulted in financial upheaval.
Shifts in Financial Centers: New York Stock Exchange became the key financial hub, leading to the Wall Street Crash of 1929 and subsequent Great Depression.

Productivity Increases: Advances in production methods, including assembly line efficiency.
Industry Expansion: Notable growth in automobile, radio, and film industries.

Consumer Dynamics: Increased wages, low taxation, easy credit led to consumerism.
Product Demand: Ordinary families affording electrical goods and automobiles shifted economies.
Advertising Influence: Mass culture and consumerism flourished.

Economic Policies:
- Laissez-faire capitalism with minimal regulations.
- High tariffs restricted trade; tax cuts favored the wealthy. --

Indicators of Prosperity:
- Growth in housing, stocks, GNP.
Social Issues:
- Persistent poverty; inequality impacted groups like unskilled workers and African Americans.

Globalization Risks: International events increasingly impacted nations.
Market Disruptions: Post-WWI changes disrupted global trade and demand for goods.

Economic Cycles: Characterized by boom and bust phases.
Dependency: Countries were economically interdependent, vulnerable to global shifts.

Disparities: Top 0.1% held equal wealth to bottom 42%.
Economic Consequences: Reduced consumer demand led to layoffs and economic contraction.