Political Responses to the Political Responses to the Great DepressionGreat Depression

The Politicians offer their Solutions

J.S. Woodsworth

“Bible Bill” Aberhart

“R.B. Bennett

Canada’s Great Depression

IB History of the Americas

MacKenzie King

Maurice Duplessis

Guiding QuestionsGuiding Questions

Compare and contrast the government’s Compare and contrast the government’s response to the Depression in Canada response to the Depression in Canada and the US.and the US.To what extent did the policies of Bennett To what extent did the policies of Bennett and King bring an end to the Great and King bring an end to the Great Depression in CanadaDepression in CanadaHow did the Great Depression change the How did the Great Depression change the relationship between government and relationship between government and business in Canada?business in Canada?

How did the Government How did the Government Respond?Respond?

At this point in Canadian At this point in Canadian History, the social programs History, the social programs that we know of today such that we know of today such as Employment Insurance as Employment Insurance and Welfare did not exist.and Welfare did not exist.How will those Canadians How will those Canadians most seriously affected by the most seriously affected by the Great Depression make ends Great Depression make ends meet?meet?What would the government What would the government of Prime Minister MacKenzie of Prime Minister MacKenzie King do?King do?

27% Unemployment

MacKenzie King

Prime Minister (Liberal Party) of Prime Minister (Liberal Party) of Canada from 1921 to 1930.Canada from 1921 to 1930.First term struggle to work with the First term struggle to work with the Progressive Party and his own Progressive Party and his own Liberal Party, especially on the issue Liberal Party, especially on the issue of tariffs (which prairie progressives of tariffs (which prairie progressives wanted lowered).wanted lowered).MacKenzie King’s government MacKenzie King’s government presided over a period of unrest presided over a period of unrest among farmers in the Prairies as farm among farmers in the Prairies as farm prices declined.prices declined.He also faced growing dissent from He also faced growing dissent from WWI veterans who expected their WWI veterans who expected their sacrifices to be compensated during sacrifices to be compensated during difficult economic times.difficult economic times.

W.L. MacKenzie King

Canada’s stock market (Toronto) was Canada’s stock market (Toronto) was closely linked to the NYSE, thus closely linked to the NYSE, thus when the U.S. market crashed so did when the U.S. market crashed so did the CSEthe CSE1929-1933: GNP fell 40% (37% US),1929-1933: GNP fell 40% (37% US),unemployment rose to 27%, exports unemployment rose to 27%, exports in wheat, minerals and timber fell by in wheat, minerals and timber fell by 50%.50%.Under MacKenzie King’s laissez-faire Under MacKenzie King’s laissez-faire leadership the national government leadership the national government took minimal action to provide relief took minimal action to provide relief or encourage economic recovery.or encourage economic recovery.Relief programs were the Relief programs were the responsibility of ill-equipped responsibility of ill-equipped provincial governments.provincial governments.

Black Tuesday

Homeless Canadian family in WesternCanada during the heart of the Depression

King’s Response to the DepressionKing’s Response to the DepressionMacKenzie King thought MacKenzie King thought that it was the responsibility that it was the responsibility of the provinces to aid their of the provinces to aid their own citizens. own citizens. He wasn’t prepared for the He wasn’t prepared for the depression (not many depression (not many political leaders were) and political leaders were) and so he didn’t take an so he didn’t take an interventionist approach to interventionist approach to the Economy.the Economy.King was eventually openly King was eventually openly criticized for his criticized for his controversial comment that controversial comment that he wouldn’t give “a five cent he wouldn’t give “a five cent piece” of relief money to any piece” of relief money to any province that had a province that had a Conservative GovernmentConservative Government

He won’t give “a five cent piece”

Enter “Bonfire” BennettEnter “Bonfire” Bennett

R.B. Bennett was Leader of the R.B. Bennett was Leader of the Conservative Party of CanadaConservative Party of CanadaHe had the nickname “bonfire” He had the nickname “bonfire” because of his bombastic (loud) because of his bombastic (loud) speaking style.speaking style.On July 28On July 28thth, 1930 R.B. Bennett , 1930 R.B. Bennett became Prime Minister of Canada.became Prime Minister of Canada.Originally from New Brunswick, Originally from New Brunswick, grew up to be a self-made grew up to be a self-made millionaire as a corporate lawyer millionaire as a corporate lawyer and businessman in Calgary.and businessman in Calgary.Given his “rags to riches” humble Given his “rags to riches” humble beginnings, he believed in beginnings, he believed in capitalism and the free-enterprise capitalism and the free-enterprise system (i.e. leave economy alone system (i.e. leave economy alone and everything will work out in the and everything will work out in the end)end)

Prime Minister R.B. Bennett

Bennett tried to combat the depression by Bennett tried to combat the depression by increasing trade within the British Empire and increasing trade within the British Empire and imposing tariffs for imports from outside the imposing tariffs for imports from outside the Empire. Known as the Imperial Preference Empire. Known as the Imperial Preference PolicyPolicy

Conservative pro-business policies provided Conservative pro-business policies provided little relief for the unemployedlittle relief for the unemployed

Bennett’s Response to the Bennett’s Response to the DepressionDepression

He put $ 20 Million dollars He put $ 20 Million dollars towards emergency relieftowards emergency relief

He raised the tariffs on He raised the tariffs on imports to 50% in order to imports to 50% in order to protect Canada’s protect Canada’s industries from foreign industries from foreign competition and end the competition and end the trade deficit. (Do you think trade deficit. (Do you think this would work?) this would work?)

“Bonfire” Bennett

Blaming it on BennettBlaming it on BennettBlaming it on BennettBlaming it on Bennett

No Unemployment InsuranceNo Unemployment Insurance

Prime Minister Bennett blamed for inability Prime Minister Bennett blamed for inability to end Depressionto end Depression

Bennett Buggies – Cars pulled by horsesBennett Buggies – Cars pulled by horses

Bennettburghs – homeless communitiesBennettburghs – homeless communities

Bennett blankets - newspapersBennett blankets - newspapers

Critics argued that the federal Critics argued that the federal government had established government had established the camps in lieu of a program the camps in lieu of a program of work and wage increases.of work and wage increases.Conditions in the camps were Conditions in the camps were abhorrent, not only because of abhorrent, not only because of the low pay, but the lack of the low pay, but the lack of recreational facilities, isolation recreational facilities, isolation from family and friends, poor from family and friends, poor quality food, and the use of quality food, and the use of military discipline.military discipline.Communist Party leaders saw Communist Party leaders saw a chance to organize strikes in a chance to organize strikes in the camps. Forming the Relief the camps. Forming the Relief Camp Worker’s UnionCamp Worker’s Union

Remember the Relief Camps??

January 1935, Bennett announces in a radio address “I am for January 1935, Bennett announces in a radio address “I am for reform” and launches his own New Deal.reform” and launches his own New Deal.

The plan called for federal government intervention:The plan called for federal government intervention:> minimum wage, maximum work week laws, > minimum wage, maximum work week laws, > unemployment insurance > unemployment insurance > retirement pensions, health insurance> retirement pensions, health insurance> mortgage assistance for farmers> mortgage assistance for farmers

Most of the New Deal was seen by the Supreme Court of Canada Most of the New Deal was seen by the Supreme Court of Canada and the Judicial Committee of the Privy Council as an and the Judicial Committee of the Privy Council as an encroachment on the authority of provincial governments and encroachment on the authority of provincial governments and struck down as violation of Section 92 of the British North America struck down as violation of Section 92 of the British North America Act (Canada's Constitution)Act (Canada's Constitution)

Bennett’s reform effort was seen as too little, too late by voters who Bennett’s reform effort was seen as too little, too late by voters who elected McKenzie King in October 1935elected McKenzie King in October 1935

Bennett’s New Deal

The Return of KingThe Return of King

In 1935, the Canadian In 1935, the Canadian people had enough of people had enough of Bennett who they blamed Bennett who they blamed for prolonging the for prolonging the Depression.Depression.Running under the slogan Running under the slogan “King or Chaos”, King won “King or Chaos”, King won the election.the election.Bennett ended his final Bennett ended his final days in Great Britain and days in Great Britain and remains the only remains the only Canadian prime minister Canadian prime minister to be buried outside of to be buried outside of Canada.Canada.

He’s Back Again

Prime Minister (Liberal Party) of Canada from 1935 to 1948.Prime Minister (Liberal Party) of Canada from 1935 to 1948.Introduces relief programs:Introduces relief programs:> National Housing Act> National Housing Act> National Employment Commission> National Employment CommissionNationalizes:Nationalizes:> Canadian Broadcast Corporation 1936> Canadian Broadcast Corporation 1936> Trans-Canada Airlines (Air-Canada) 1937> Trans-Canada Airlines (Air-Canada) 1937> Bank of Canada 1938> Bank of Canada 1938From 1939, an increased demand in Europe for materials, From 1939, an increased demand in Europe for materials, and increased spending by the Canadian government on and increased spending by the Canadian government on public works created a boost to the economy. public works created a boost to the economy. Unemployment declined as men enlisted in the military. Unemployment declined as men enlisted in the military. By 1939, Canada was experiencing economic prosperity for By 1939, Canada was experiencing economic prosperity for the first time in a decade. the first time in a decade.

MacKenzie King Returns MacKenzie King Returns

Other Political Parties offer their Other Political Parties offer their solutionssolutions

Bill Aberhart was a preacher and Bill Aberhart was a preacher and school teacher from Albertaschool teacher from AlbertaSchool principal/evangelist. School principal/evangelist. Begins broadcasting his “Back Begins broadcasting his “Back to the Bible” program to a large to the Bible” program to a large audience in 1925.audience in 1925.He thought that the Depression He thought that the Depression was caused by people not having was caused by people not having enough money to buy goods and enough money to buy goods and services; especially farmers.services; especially farmers.His idea? Give every citizen $25 His idea? Give every citizen $25 per month “prosperity certificate” per month “prosperity certificate” so people could buy more so people could buy more products and help the economy.products and help the economy.

Social Credit Party leader“Bible Bill” Aberhart

Social Credit Theory advocates Social Credit Theory advocates > government income subsidies to stimulate > government income subsidies to stimulate economic growtheconomic growth> tight regulatory control of banks to > tight regulatory control of banks to manage money supplymanage money supplyHis party was called the “Social Credit” Party.His party was called the “Social Credit” Party.His party was elected in 1935 in Alberta, but His party was elected in 1935 in Alberta, but they never paid out the certificates. The party they never paid out the certificates. The party was a major force in the west and stayed in was a major force in the west and stayed in power until the 1970s in Alberta. It was also a power until the 1970s in Alberta. It was also a major force in BC politicsmajor force in BC politics

William “Bible Bill” AberhartWilliam “Bible Bill” Aberhart

Co-Operative Commonwealth Federation (CCF) Socialist Co-Operative Commonwealth Federation (CCF) Socialist political party established in Calgary, Alberta in 1932.political party established in Calgary, Alberta in 1932.Platform:Platform:> Concentration of wealth in the hands of a few threatened> Concentration of wealth in the hands of a few threatened democracy. democracy.> New social order calling for production and distribution for> New social order calling for production and distribution for the public good not private gain. the public good not private gain.CCF joined the League for Social Reconstruction (LSR) CCF joined the League for Social Reconstruction (LSR) Regina Manifesto 1933:Regina Manifesto 1933:– All industry related to social planning would be All industry related to social planning would be

nationalizednationalized– Universal health care, unemployment compensation Universal health care, unemployment compensation

The CCF enjoyed modest success in the Western ProvincesThe CCF enjoyed modest success in the Western Provinces

C.C.F.C.C.F.

J.S. WoodsworthJ.S. Woodsworth

He was a “conscientious objector” He was a “conscientious objector” during WW1 and worked as a minister during WW1 and worked as a minister in Winnipeg helping the homeless.in Winnipeg helping the homeless.He believed that the free enterprise He believed that the free enterprise system had failed the people during system had failed the people during the depression and that the the depression and that the government needed to take a greater government needed to take a greater role during the depression.role during the depression.He proposed: Unemployment He proposed: Unemployment insurance, free medical care, family insurance, free medical care, family allowances and old age pensions.allowances and old age pensions.Many of his ideas have been adopted Many of his ideas have been adopted in Canada.in Canada.His Co-operative Commonwealth His Co-operative Commonwealth Federation (CCF) Party later was Federation (CCF) Party later was renamed the NDP in 1961.renamed the NDP in 1961. J.S. Woodsworth

Became a legal party in Canada in 1924.Became a legal party in Canada in 1924.

Criticized as Un-Canadian because of its allegiance to Criticized as Un-Canadian because of its allegiance to Communist International (Comintern) operating out of MoscowCommunist International (Comintern) operating out of Moscow

1919, Red Scare, Section 98 of the Criminal Code outlaws the 1919, Red Scare, Section 98 of the Criminal Code outlaws the Communist Party. Party leaders were imprisoned in 1931.Communist Party. Party leaders were imprisoned in 1931.

Helped organize the trek to Ottawa. Arthur “Slim” EvansHelped organize the trek to Ottawa. Arthur “Slim” Evans

Communist Party of CanadaCommunist Party of Canada

The Union NationaleThe Union Nationale

Maurice Duplessis blamed the Maurice Duplessis blamed the existence of the Depression on existence of the Depression on the fact that many of Quebec’s the fact that many of Quebec’s industries were owned by industries were owned by Americans and English Americans and English speaking Canadians.speaking Canadians.He formed the Union Nationale He formed the Union Nationale so that Quebeckers would have so that Quebeckers would have more control over their more control over their economy.economy.The Union Nationale won the The Union Nationale won the Quebec election in 1936 and Quebec election in 1936 and remained a force in Quebec remained a force in Quebec politics for the next 22 yearspolitics for the next 22 years

Maurice Duplessis of the Union Nationale