Canada in

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Canada in The Great Depression The Causes of
the Great Depression in Canada
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Drought in the Prairies

• In 1929, a terrible drought began that lasted
  nearly 10 years.
• Crops dried up and the soil turned to dust the
  wind then blew away the dry soil.
• Storms of dust occurred often leading parts of
  Alberta and Saskatchewan to be referred to as the
  Dust Bowl.
• Nearly 14,000 farms were abandoned during the
  depression.

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The Dust Bowl
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• Western farmers in Canada were also unable to
  survive because of the failing economy in the
  U.S., less demand for their products.
• Finally, in 1931-32 the first swarms of
  grasshoppers began destroying wheat fields across
  the prairies.
• Many men left their small rural farming towns
  (especially in the prairie provinces) and moved
  from city to city (towards Ontario) in hopes of
  finding work.

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• In the Maritime Provinces fishing families and
  industries found a significant drop in demand for
  their product. This meant less profits and many
  workers were laid off.

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The Dirty 30s

• Much of what led to the Great Depression of the
  1930's was a result of the prosperity of the
  1920's.
• Through industrialization the economy had changed
  in so many ways that people did not know what the
  future held.

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• The government created basic jobs for the
  unemployed in order to get men off the streets.
• These jobs ranged from building much needed city
  infrastructure to building roads that led
  nowhere.

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• In some cases people felt there was no way out of
  the despair of the depression and suicide rates
  increased.

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• The Wizard of Oz, Gone with the Wind,
  Frankenstein, Snow White and the Seven Dwarfs and
  King Kong were extremely popular during the 30s
  because these films of fantasy allowed people
  temporarily escape from the problems of their
  daily lives.

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• This uncertainty and optimism led to these
  underlying causes of the Great Depression

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• Canadas economy relied heavily on exports to
  other countries
• European economies were still weakened by the
  effects of WWI

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• Overdependence on the United States as a market
  and a source of investment funds

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• Overproduction of goods- from wheat to
  manufactured products
• On-margin stock purchasing (borrowing money to
  buy shares)
• Crash of the New York Stock Market, October 29,
  1929

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Stock Market Crash

• Too many people were buying stocks on margin
  which means that they borrow money from the bank
  in order to buy more stocks.
• The crash occurred on Black Tuesday, October
  29, 1929.
• Families lost all their money, businesses went
  bankrupt.

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Black Tuesday
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• As the depression carried on, 1 in 5 Canadians
  became dependent on government relief.
• Approximately ¼ (25) of the population was
  unemployed
• Current Unemployment Rate in Canada 6-8

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International Depression

• Depression was world wide
• People desperate for government to help therefore
  the development of dictatorships in Europe become
  a solution (Italy, Germany, Russia)

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Government Response to Depression

• Relief Camps
• In 1932, the federal government set relief camps
  for unemployed men. The workers cleared bush,
  built roads, planted trees, erected public
  buildings in return for room, board, medical care
  and 20 cents a day.

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Government Response to Depression

• Hostility in Relief Camps led to major protests
• On-to-Ottawa Trek
• Regina Riot

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Government Response to Depression

• No Unemployment Insurance
• Prime Minister Bennett blamed for inability to
  end Depression
• Bennett Buggies Cars pulled by horses
• Bennettburghs homeless communities
• Bennett blankets - newspapers