The Great Depression in Canada refers to the severe economic downturn experienced by the country during the 1930s. It was a period of significant economic and social distress marked by a sharp decline in economic activity, mass unemployment, and widespread poverty.
During the Great Depression, Canada's economy was heavily reliant on primary industries such as agriculture, mining, and forestry. These sectors were greatly affected by the global collapse in commodity prices and reduced international trade due to protectionist measures. As a result, Canada's export-dependent economy suffered greatly, leading to a sharp decline in production and income levels.
The impact of the Great Depression in Canada was particularly devastating for workers and families. Unemployment rates skyrocketed, reaching an estimated peak of over 27% by 1933. This steep rise in joblessness led to a collapse in consumer spending, exacerbating the economic crisis.
The Canadian government's response to the Great Depression was initially inadequate, as it clung to outdated economic theories and austerity measures. However, under pressure from social and political movements, the government eventually introduced various relief programs to assist those affected by the economic downturn.
The Great Depression in Canada had long-lasting effects on the country's economy and society. It exposed the vulnerabilities of Canada's export-oriented economic model and highlighted the need for diversification and increased government intervention. It also contributed to the shaping of social welfare policies and the rise of political movements advocating for workers' rights, leading to important changes in Canadian society in subsequent decades.
