The Great Depression has happened 94 years ago. Many people may have forgotten about this event, but I think it is still a very relevant topic to this day. The Great Depression taught us many lessons like the importance of economic regulations, the roles government plays in a horrific event like this, and monetary policy. Because of stock prices rising, people decided to buy stocks with borrowed money which is very risky, eventually as the market starts to decline, people lost all their investments and banks failed. It wouldn’t be wrong if we say the lack of government regulation is in fault because the government failed to enforce strict rules. A limit on buying stocks with borrowed money could’ve helped to prevent the stock market crash. Thanks to President Hoover’s ”New Deal” act, America was able to slowly recover from the biggest economic turndown. The article ”The lessons of the Great Depression”, the author states ”American did not merely endure the Great Depression; its response transformed it into a richer and more equitable society”, this shows the effectiveness of the ”New Deal” and how this act helped America for the better.
