Causes of Great Depression
The Great Depression occurred because of several factors, firstly there was a period of overproduction of goods which decreased the demand for it as well as the price. Secondly there was the stock market crash which made the economy experience a downfall as well as made lots of people lose lots of their money. In their state of isolationism USA also put taxes on trade, called tariffs, which was supposed to help the USA economy by buying locally more often. There was also lots of international debt owed to the USA by the Germans, French, and the British because of a weak European economy.
Herbert Hoover and Hoovervilles
Hoover was the president throughout the depression. His ideas were for "Free Enterprise" which meant that the government did not get involved in businesses and baling people out when they were in trouble. Because of this he was forced to bring in certain socialist measures. He opened things like "The dole", which we know as today Employment Insurance, essentially a hand out from the government. "Hoovervilles" were created for poor people who were not happy with Hoover. Franklin D. Roosevelt was elected in 1932.