historical story of the great depression

During the 1920’s, America and the rest of the world had a false sense of prosperity. Federal spending increased three times more than tax collections during World War 1. The US government reduces spending to help balance the budget, but a recession is the result. The decade of the 1920’s saw 600 banks close each year. Membership of the United Mine Workers Union went from 500,000 in 1920 and saw it drop to only 75,000 by 1928.
The American Federation of Labor membership fell from 5.1 million to 3.4 million by 1929. 1200 mergers become the reason 6000 independent companies close. In 1929, only 200 corporations control half of all American Industry. 80 percent of all income-earners were removed from the tax rolls completely. Taxes on the rich fall throughout the decade. One percent of the population owned forty percent of the country’s wealth by 1929. More than 90 percent experienced a drop in disposable income between 1923 and 1929. A single employee Productivity goes up by 43% over ten years, between 1919 and 1929.