Great Depression – Caroline Mott

Dear Rachael,

I’m so glad you asked about the Great Depression. We are learning about the Great Depression in my 20th century class.  The Great Depression was a long time when people that didn’t have a lot of money to spend. Many people didn’t have food and it was a very sad time.  Can you imagine not having food? It would be very hard.

A lot of people think that the Stock Market Crash was the reason for the Great Depression but that is wrong. The Stock Market Crash was like the match to the fire. The Stock Market crashed because everyone at once decided to take out their stock at once! This was not a good thing and led to the crash of the stock market. The lack of a Stock Market was not good and led to the causes of Great Depression. It was like a large domino effect.

People in the Great Depression paid with credit cards, like Mom uses, but Mom always pays it back. The people in the 30’s didn’t pay it. Without credit being paid for the bank was losing a lot of money. To help this loss of money banks started to stop making people with a lot of money pay extra taxes. That didn’t work and just made the depression worse.

The other reason the Great Depression happened was because the farms were making too much food and people weren’t eating it. There was a lot of extra food that was going bad! This extra food wasn’t getting bought and the farmers weren’t getting enough money. The farmers weren’t making money anymore and the people with a lot of money wouldn’t share it! Also there was no more foreign trade. That means that we don’t get any food from other people in the world. We also don’t get our toys made from Japan anymore. That caused a big decline.

I hope you understand the causes for the Great Depression. If you have any more questions just ask me.

Love,

Caroline