What were the economic indicators of the impending Great Depression?

The economic indicators of the impending Great Depression were characterized by a series of warning signs that pointed towards an economic downturn. Some of the key indicators include:

1. Stock Market Crash: The most significant indicator was the stock market crash of October 1929, also known as Black Tuesday. This event marked the beginning of the Great Depression and resulted in a massive decline in stock prices, wiping out billions of dollars in wealth.

2. Bank Failures: As a result of the stock market crash, numerous banks faced financial difficulties and eventually failed. This led to a loss of people's savings and a lack of confidence in the banking system, further exacerbating the economic crisis.

3. Declining Industrial Production: Industrial production began to decline rapidly as demand for goods decreased. This was evident in sectors such as manufacturing, construction, and mining, which experienced significant drops in output and employment.

4. Unemployment: Unemployment rates soared during the Great Depression. Many businesses were forced to lay off workers or shut down completely, leading to widespread joblessness. By 1933, the unemployment rate in the United States reached a staggering 25%.

5. Declining International Trade: International trade suffered a severe blow during the Great Depression. As countries implemented protectionist policies, such as imposing high tariffs and trade barriers, global trade volumes plummeted. This further deepened the economic crisis as countries struggled to export their goods and generate revenue.

6. Agricultural Crisis: The agricultural sector was hit hard by falling crop prices and drought conditions in the 1930s. Farmers faced significant challenges, including low incomes, debt, and foreclosure on their lands. This led to widespread rural poverty and migration to urban areas in search of employment.

7. Deflation: The Great Depression was characterized by deflation, a sustained decrease in the general price level of goods and services. This meant that the value of money increased, but it also resulted in reduced consumer spending and business investment, further worsening the economic situation.

These economic indicators collectively signaled the impending Great Depression, which had a profound and long-lasting impact on the global economy.