Impact Of The Great Depression On The American Economy

There are very few events in American history which have as great of an impact as the impact that the Great Depression had on the American economy and government as well as the mindset of the American people. As stated by Milton Friedman (Pongracic, Ivan) â€Å"the period from 1929 to 1941 saw fundamental changes in the landscape of American politics and economics.† The Great Depression, which sent our country into utter despair for eleven long years, was inevitable due to the decisions and actions that our government, banking systems, and the American people made prior to, and throughout this time period. It transformed our many of our practices and views and the effects can still be seen today in the mindset of American people and their government. The years preceding the great crash were a time of great prosperity and happiness for Americans so they found it difficult in believing that the economy was built on a weak foundation and that it could completely collapse overnight like it did. After completion of World War One, the United States no longer had to produce weapons and war machinery, so, for the first time ever, industry turned to making consumer goods on a mass scale. Goods that American’s had always believed to be for the â€Å"rich† were soon mass produced so that they were affordable to more consumers. The number of cars on the road, for example, increased by over 24 million between 1920 and 1929. (â€Å"America in the ‘Roaring Twenties’ – Part 2: The Economy†) and thereShow MoreRelatedImpact Of The New Deal On The Great Depression1355 Words   |  6 Pages Impact of the New Deal on the Great Depression Preceding the Great Depression, the United States went through a glorious age of prosperity, with a booming market, social changes, and urbanization; America was changing. At the end of the 1920’s and well through the 1930’s, America was faced with its greatest challenge yet; the 1929 stock market crash. It would be the end of the prosperity of the â€Å"Roaring Twenties†. Now the American government and its citizens were faced with a failing economy.Read MoreThe Great Depression Of The 1930s Essay1689 Words   |  7 PagesGlobal Crisis of 2008 in Comparison to the Great Depression of the 1930s Introduction The economic crisis’ of the 1930s and 2000s greatly impacted the United Sates (U.S) and the world. 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