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# The Great Depression The document describes the causes of the Great Depression. Here are the key points: **Causes:** 1. **Overproduction:** Agriculture and manufacturing produced more goods than people could buy. Wages were not high enough to stimulate consumption of all the goods manufactured...

# The Great Depression The document describes the causes of the Great Depression. Here are the key points: **Causes:** 1. **Overproduction:** Agriculture and manufacturing produced more goods than people could buy. Wages were not high enough to stimulate consumption of all the goods manufactured, leading to an accumulation of unsold products. Specifically, 400,000 automobiles were manufactured, which represented high production levels when compared to people's purchasing power. 2. **Reliance on a few primary products:** Canada's economy relied heavily on a small number of natural resources for exports. Dependence on these few resources could destabilize the economy if prices of these products fell suddenly. 3. **Dependence on the USA:** The Canadian economy was heavily linked to the US economy. About 64% of Canadian goods were tied to the US market. Events in the US could significantly affect the Canadian economy. 4. **Too much credit buying and easy credit:** Canadians were encouraged to buy goods on credit, leading to substantial debt. **Event:** The document mentions "Black Tuesday" (October 29, 1929) as the spark of the stock market collapse. **Summary:** The document outlines major factors that led to the Great Depression. These factors include overproduction, dependence on a few raw materials, dependence on the US economy, and excessive consumer credit. The triggering event was the stock market crash in 1929, often known as "Black Tuesday."