Doesn’t capitalism cause depressions?

No. The nationwide cycle of “booms” followed by “busts” is the result of the only agency that has the power to act on a nationwide scale: the government. A depression is a nationwide decline in production that is the result of capital mal-investments into unprofitable...

What caused the Stock Market Crash of 1929?

Black Tuesday took place on October 29, 1929, was a depression with increasing unemployment (but still under 10%). During the stock market crash of 1929 unemployment peaked at 9 percent, and then drifted downwards until it reached 6.3% in June 1930. What was the cause...

What was the New Deal?

The New Deal was an attempt by Franklin Delano Roosevelt to use the crisis surrounding the recession following the Stock Market Crash of 1929 as an excuse to intervene in the economy. Interventions of the New Deal included: the National Industrial Recovery Act (1933)...