What was a major consequence of the Great Depression?

The Great Depression, which began in 1929 and lasted throughout the 1930s, had severe economic repercussions that fundamentally changed societies around the world. High levels of poverty and unemployment emerged as a direct consequence of the economic collapse. As businesses failed and banks closed, millions of people lost their jobs, leading to unprecedented levels of unemployment. This drastic loss of income pushed many families into poverty, resulting in widespread suffering and hardship.

In many countries, unemployment rates soared to over 25%, and the effects were felt not just economically but also socially, as communities struggled to cope with the loss of financial security. This period prompted governments to seek intervention strategies, including the introduction of social safety nets and economic recovery programs, which aimed to alleviate the dire situations many individuals faced.

In contrast, the other options reflect outcomes that were not associated with the Great Depression. Increased employment rates and an expansion of consumer spending did not occur during this time; rather, the opposite was true as job opportunities dwindled and consumer confidence plummeted. Global economic stability was also not a feature of this period, as the collapse of economies led to increased protectionism and trade barriers, further worsening the economic climate both domestically and internationally.