Why did the Great Depression start?

Answer 1

1. The Great Depression started when the Stock Market crashed because of credit.

2. In the roaring 20s, most Americans were buying goods with credit, while 80% of Americans had no savings. With many Americans in debt, businesses went under.

3. Another factor was that banks weren't very trustworthy. Because unlike today, governments dident bail out banks.

4. Finally, with Prohibition going on, organized crime reached an all new high so gangsters like Al Capone were getting rich on America's expense.
The great deppresion started because people started to save money. Factory owners started lowering people's pay and the workers didn't have enough money to to buy from factories so the factory owners lost money and had to fire workers and lower their pay. You can see it right now: The financial world at the moment is staring at the abyss. Not wishing to be a prophet of doom it is not looking very bright at the moment. I am not sure that there is a definitive answer to the question, it's an evoutionary process without significant reason or events, but the effects are devastating, and of course it's the poorest that suffer the most.

Answer 2

The Great Depression wasn't caused by a single individual as such, more so a political and economic climate after World War One. Things such as Germany's ambitions of becoming a world power over Britain, the arms race which followed and the war itself placed strain on many, if not all, nations involved.