Wall Street Crash - October 1929 - Causes and effects table in IGCSE History


	Wall Street Crash - October 1929
	Causes Share prices began to fall quickly so people's investments lost in value. People rushed to sell shares which sent prices even lower. American banks started to stop their foreign loans to banks in Germany.	Effects Middle classes lost savings, businesses and homes. Workers became unemployed which increased the governments welfare bill. The government rapidly lost tax revenue which left them without money. The government had relied on American loans but these had now been recalled. Bruning (chancellor) proposed raising taxes to pay for unemployment benefit (opposed by right-wing) and reduce unemployment benefit to make payments affordable (opposed by left-wing). The government collapsed an Bruning had to use decrees. Decrees weakened confidence in the Weimar Republic. Extremist parties benefitted from the anger with the government. Violence increased in Germany.
	Overall summary Significance: left millions unemployed and caused the economy to collapse.

Middle classes lost savings, businesses and homes.
Workers became unemployed which increased the governments welfare bill.
The government rapidly lost tax revenue which left them without money.
The government had relied on American loans but these had now been recalled.
Bruning (chancellor) proposed raising taxes to pay for unemployment benefit (opposed by right-wing) and reduce unemployment benefit to make payments affordable (opposed by left-wing).
The government collapsed an Bruning had to use decrees. Decrees weakened confidence in the Weimar Republic.
Extremist parties benefitted from the anger with the government.
Violence increased in Germany.

Significance: left millions unemployed and caused the economy to collapse.

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