Describe the effect of the Great Depression on the world? Who was the worst affected by this depression? (2024)

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Describe the effect of the Great Depression on the world? Who was the worst affected by this depression? ›

Solution:The Great Depression began around 1929 and lasted till the mid-1930s. During this period: There were steep declines in production, employment, incomes and trade. Agricultural regions and communities were worst affected due to the fall of agricultural prices and ruin of urban centres.

Although the Great Depression was relatively mild in some countries, it was severe in others, particularly in the United States, where, at its nadir in 1933, 25 percent of all workers and 37 percent of all nonfarm workers were completely out of work. Some people starved; many others lost their farms and homes.

The country's most vulnerable populations, such as children, the elderly, and those subject to discrimination, like African Americans, were the hardest hit. Most white Americans felt entitled to what few jobs were available, leaving African Americans unable to find work, even in the jobs once considered their domain.

Although it originated in the United States, the Great Depression caused drastic declines in output, severe unemployment, and acute deflation in almost every country of the world.

The Depression lasted a decade, beginning in 1929 and ending during World War II. Industrial production plummeted. Unemployment soared. Families suffered.

The problems of the Great Depression affected virtually every group of Americans. No group was harder hit than African Americans, however. By 1932, approximately half of African Americans were out of work.

The Depression affected all Americans, but it didn't affect them equally. Minority groups, especially African Americans, suffered the most during this time. They were usually the first fired and last hired for any jobs. By 1932, 50% of all African Americans were unemployed.

Indeed some businesses did well even in the dark days of 1931 and 1932 and most families did not lose livelihoods or face privation. The impact varied according to industry, class, race, location, and luck.

Hence we can say that Japan was not affected by the economic depression during 1929-30.

Business titans such as William Boeing and Walter Chrysler actually grew their fortunes during the Great Depression.

How did Great Depression change the world? ›

The economic troubles of the 1930s were worldwide in scope and effect. Economic instability led to political instability in many parts of the world. Political chaos, in turn, gave rise to dictatorial regimes such as Adolf Hitler's in Germany and the military's in Japan.

Farmers Grow Angry and Desperate. During World War I, farmers worked hard to produce record crops and livestock. When prices fell they tried to produce even more to pay their debts, taxes and living expenses. In the early 1930s prices dropped so low that many farmers went bankrupt and lost their farms.

The stock market crash of 1929.

Once prices began their inevitable decline in October 1929, millions of overextended shareholders fell into a panic and rushed to liquidate their holdings, exacerbating the decline and engendering further panic. Between September and November, stock prices fell 33 percent.

Factories were shut down, farms and homes were lost to foreclosure, mills and mines were abandoned, and people went hungry. The resulting lower incomes meant the further inability of the people to spend or to save their way out of the crisis, thus perpetuating the economic slowdown in a seemingly never-ending cycle.

As stocks continued to fall during the early 1930s, businesses failed, and unemployment rose dramatically. By 1932, one of every four workers was unemployed. Banks failed and life savings were lost, leaving many Americans destitute. With no job and no savings, thousands of Americans lost their homes.

During this period: There were steep declines in production, employment, incomes and trade. Agricultural regions and communities were worst affected due to the fall of agricultural prices and ruin of urban centres. Unemployment created further poverty in the society and people were living in destitute conditions.

Lasting from 1929 to 1939, the Great Depression was the worst economic downturn in the industrialized world. While no group escaped the economic devastation of the Great Depression, few suffered more than African Americans.

The collapse of the stock market and the closing of more than 5,000 banks mostly affected the middle class. The professional men that worked at these jobs now had to deal with a loss of income and unemployment. They now found themselves having a hard time supporting their families.

But one country arguably suffered more than anyother: Canada. By the time its economy reached bottom in 1932,Canada had suffered a staggering decline of 34.8 percent in per-capita gross domestic product. No other developed nation was ashard-hit. Canada was, and still is, a country dependent on trade.

By the summer of 1932, the Great Depression had begun to show signs of improvement, but many people in the United States still blamed President Hoover.