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Buy custom Causes of the Great Depression

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Topic: American History
Number of pages / Number of words: 13 / 3617
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During that same period of

time average wages for manufacturing jobs increased only 8%(end note

9). Thus wages increased at a rate one fourth as fast as productivity

increased. As production costs fell quickly, wages rose slowly, and

prices remained constant, the bulk benefit of the increased

productivity went into corporate profits...


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In fact, from 1923-1929

corporate profits rose 62% and dividends rose 65%(end note 10).

The federal government also contributed to the growing gap

between the rich and middle-class. Calvin Coolidge's administration

(and the conservative-controlled government) favored business, and as

a result the wealthy who invested in these businesses...


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