The Depression : Economic Impact

Question 1

What were the effects of the Wall Street crash? ( 4 )

Answer 1

Largest American companies fell $10 billion in value
Companies bankrupted
Workers lost jobs
Banks called in loans and stopped lending
Started in USA ➡️ world

Question 2

How is Germany hit?

Answer 2

American banks demanded money back
1929-32 export trade fell by 61% and industrial production 58%
Depression

Question 3

What was the effect on industry?

Answer 3

Industrial output fell by 58% - Britain 18%
Foreign trade declined due to prices and lack of Buyers.
Ruhr, Silesia and port cities hit hard

Question 4

What did the depression do to banks? ( 4 )

Answer 4

Customers withdrew money
Outstanding loans not repaid
May 1931 collapse of creditansalt led to financial collapse in Germany - ( Austrian bank )
July : gov shut banks and stock exchange for a break

Question 5

What was unemployment like? ( 4 )

Answer 5

1932 - 1/3 of workers ( recorded )
Many didn’t register specifically woman
Jan 1933 - estimated 8 million
Civil service faced severe cuts in workers and pay