I. IntroductionThe Great Depression was a severe economic depression that occurred in the decade before World War II. An economic depression is defined as a substantial and prolonged deficiency in the ability to purchase goods relative to the quantity that could be produced using current resources and technology.[1] The Great Depression affected most of the world's national economies during the 1930s. The depression mainly affected industrial countries such as the United States and the United Kingdom and caused unemployment to rise. Furthermore, the construction sector has almost stopped, the price of agricultural products has dropped significantly, and farmers and rural populations have been negatively affected. The mining sector was also the hardest hit sector due to the unexpected drop in demand. Economic historians usually believe that the beginning of the depression is the sudden collapse of US stock markets on October 29, also known as Black Tuesday. And among the problems associated with assessing the causes of the depression, none are more difficult to solve than responsibility to be attributed to the stock market crash. The increase in mass unemployment is considered a consequence of the crash, however the crash is not the only event that caused the depression. The Wall Street Crash is usually considered to have had the greatest impact on the events that followed and is consequently widely accepted as indicative of the devastating economic circumstances that led to the Great Depression. True or not, the consequences were terrible for almost everyone. Most academic experts agree on one aspect of the collapse: Billions of dollars of wealth vanished in a day, and this immediately depressed consumption. II. Body: causes and effects1. How it beganThe world economy seemed to have recovered from the devastation of...... middle of paper... some issues such as Social Security. Until 1935, states except Wisconsin had backward insurance laws or, even worse, these programs were underfunded and as a result nearly useless. The United States became a country where the population tried to overcome the depression without any national social security. As a result, the most significant program of 1935 was undoubtedly the Social Security Act. It aimed to bring innovation to the country in terms of retirement pensions and unemployment insurance. Furthermore, Roosevelt insisted that financing should be from payroll taxes rather than the general fund; he said, "We put those payroll taxes in there so as to give taxpayers the legal, moral and political right to collect their pensions and unemployment benefits. With those taxes in there, no damn politician will ever take out my social security program"..”