PROSPERITY AND DEPRESSION
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1 WORLD WAR 1 IN 6 MINUTES PROSPERITY AND DEPRESSION Chapter 5 Grade 9 Social Studies WORLD WAR 1 WW1 lasted from July 28, 1914 to November 11, 1918 After the war, life for the people of Canada did not return to normal. WORLD WAR 1, con t During the war, Canada s manufacturing industries produce manly war goods (weapons, ammunition, etc.). The price of everyday goods (food, clothing, etc.) increased as less were being manufactured. After the War When soldiers returned from war, goods were twice as expensive but soldiers wages had not increased the same. Soldiers could not afford to buy things which hurt the economy Central Canada, British Columbia, and the Prairies began to recover from the economic slump and entered a period of growth. Unemployment increased and many soldiers could not find jobs. 1
2 The Prairies Agriculture production increased because people wheat was in demand. WHY? B.C., Manitoba, Central Canada Increased demand for iron ore, nickel, zinc, copper, and other metals. Trade with the U.S. Increased in the 1920s It was driven by the demand for pulp and paper which created an economic boom in pulp and paper areas. Trade with the U.S., cont d U.S. manufacturers (Ford, General Motors, General Electric) built factories called branch plants in Canada in order to avoid taxes or tariffs on products imported to Canada. More jobs became available. Changing Technologies Electricity was wide spread in urban areas. Electricity plus gas-powered machinery increased work productivity and factories became more common, again causing an increase in available jobs. The introduction of assembly lines also increased efficiency in the manufacturing industry. And just for fun YOUR TURN TO WRITE Write the definitions for the following terms on the lines provided to the right: 1) Branch plants 2) Tariff 3) Assembly line 2
3 1920s in the Maritimes The Maritime provinces did not see the economic boom. Why? 1. A decline in shipbuilding after the war 2. Increased cost of railway freight rates 3. Lack of electricity in the area. The result? Secondary Industries (Pulp & Paper) were slow to develop. Primary Industries (Farm & Fisheries) exploited (Overused) ** This brought about talks for Maritime Union** Define primary and secondary industries to the right. Newfoundland in the 1920s Nfld. was not a part of Canada, it was a British colony. Moderate growth in forestry (due to mill opening in Corner Brook) and mining but not enough to compensate for losses in other areas (fishery and newsprint) as well as debt from WW1 and the construction of the railway. 5.2 LIFESTYLE AND TECHNOLOGY THE ROARING TWENTIES The 1920s were known as The Roaring Twenties: New technologies were making life easier (cars, telephones, electric appliances). People celebrated life New social freedoms The Haves People who prospered they had jobs and could afford to buy things. Installment plans were introduced. buy now, pay later People payed for things on credit as they thought the financial good times were going to last. People who did not prosper the working poor Rural Canadians would barter things they made or grew for basic necessities. Effects many African Canadians and Canadians of Asian descent. Define installment plan. 3
4 Women and children in the 1920s: Many women employed in WW1 lost their jobs when the soldiers returned from war. Many women left school by grade 8 to enter the workforce until they became wives and mothers. Educated women worked as teachers, nurses, secretaries, etc. Uneducated women worked as maids, office clerks, in factories, etc. Some women attended university but were paid less than men for the same jobs after graduation. Many children left school to work but by 1929, child labour laws prevented children under 14 from working in factories and mines. Aboriginal Peoples in the 1920s: Definitions! First Nation, Inuit, and Metis people of Canada also did not benefit from the economic boom, after all many had already been relocated to poorer lands. Federal government tried to assimilate Aboriginal peoples into their culture. Why? Government thought they would benefit if they gave up their beliefs and culture. Remember ethnocentrism? Aboriginal Peoples in the 1920s: In 1920, all Aboriginal children between 7 and 15 were taken away from their families and forced to go to residential schools where they were forbidden to speak their own language, wear their own clothes, or practice their own culture so they could be assimilated to mainstream culture. Leisure in the 1920s (1) Radio Around 1925, Ted Rogers, a Canadian Engineer, invented the first electric radio. Not very efficient but in high demand. People could gain information more quickly. Pop music was born (jazz). Leisure in the 1920s (2) Silent Movies Sports in the 1920s Canada s Golden Age of Sports People had money to spend on spectator sports such as baseball, football, and boxing. Hockey games could be heard on the radio. Racing, rowing, swimming, and bicycling were all popular first female track and field at Olympics (gold medal in the 400m relay). It was considered unhealthy for women to exert themselves. 4
5 Understanding the Stock Market THE GREAT DEPRESSION A stock or share is a portion of ownership in a company. A person who bought a stock was promised a dividend. During WW1, people bought victory bonds (to raise money for the war) and people could cash these in later for additional money called interest. During the good times in the1920s, people ignored the risks associated with stocks. Stock Market Crash The Crash of 1929: The Great Depression On Thursday, October 24 th, 1929, share prices began falling and continued until the following Monday. By Tuesday thousands of investors were frantically trying to sell their stock before they lost more money. No one wanted to buy them and prices fell more. Complete accompanying worksheet handed out in class. The stock market crashed on October 29, Causes: Over spending in the 20s. Obtaining credit was too easy. Over production (people couldn't buy as much as the manufacturers were making). Close connection to the U.S. Economy (Canada relied on exports from the U.S., branch plants closed, etc.). Decrease in International Trade Bank Failures Companies began cutting costs, people were laid off and unemployment increased. Conditions Worsened in the 1930s R.B. Bennett became prime minister His conservative government gave $20 million to provinces for: 1. Public Relief - welfare 2. Public Works road and bridge building projects to create jobs Couldn t negotiate lower tariffs with U.S. and Britain. He thought balanced budgeting was the answer but conditioned worsened over the next 4 years. 5
6 Social Conditions It was near impossible to find work. Conditions and discrimination worsened for minorities (First Nations, working women, and the poor). Luxuries and essentials vanished. People were homeless and hungry. Diseases of malnutrition became prominent (ex. Scurvy). Hand-me-down clothing Social Conditions, cont d Escape from the hard times People begged, borrowed and stole. They took charity from church and community groups. People applied for public relief but it was seen as humiliating as requirements were embarrassing. In Ontario, people were required to surrender their drivers licence and give up alcohol. People rode the rails by jumping onto train cars in order to travel the country looking for work. The thirties are not to be thought of as times of deprivation. Some of us who grew up in the thirties think of them as times of creativity and resourcefulness. We played the old games of parchesi, dominoes and checkers. Sometimes we used crude checkers and checkerboards ;and we made little wagons and carts. -From The Story of Knowlesville by Judson Corey Political Changes (1) The Communist Party Canadians lost faith in Political parties New parties were formed as result New parties brought new ideas all people share in the prosperity equally 6
7 (2) The Co-operative Commonwealth Federation (CCF) a coalition of farmers, labor union leaders, and professors, they believed in public rather than private ownership and government services. (3) The Social Credit Party felt the Government should hand over money to people to get the economy moving again. Ex. Transportation, pensions, unemployment insurance, health and welfare insurance, etc. (4) The Union Nationale Party of Quebec a group of former Liberals and Conservatives who had ideas for reforms (changes) to end the Depression CINDERELLA MAN movie assignment 7
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