Unit 2

1
Unit 2 1920s Optimism

• In 1919, WW1 ended. Canada has signed the Treaty
  of Versailles as a separate country Soldiers
  began to return home.
• Canada was also a stronger nation with more
  industry.
• Canada also became, against USA wishes, a full
  member of the League of Nations. As a member,
  Canada was (1) recognized as a nation by other
  countries and (2) gained a larger role in world
  affairs.

2
Unit 2 1920s Optimism

• The League of Nations
• The League of Nations was formed at the end of
  WW1. Its role was to prevent war. It would do
  so by a process of collective security.
• Collective security means all nations defend each
  other. If one country attacks a second country,
  all the other countries will defend the second
  country. The power of many would deter war.

3
Unit 2 1920s Optimism

• Canada was full of optimism.
• Canada was also moving away from
• British rule.
• In 1922, Canada does not support Great Britain in
  a conflict with Turkey. Canada controls is own
  foreign policy
• In 1923, Canada and USA negotiate to a new
  coastal fishing treaty. It is called the
  Halibut Treaty. Great Britain does not represent
  Canada.
• In 1924, the Red Ensign replaces the British
  Union Jack as Canadas flag.

4
Unit 2 1920s Optimism

• Canadians invented or discovered many things.
• In 1921, Frederick Banting and Charles Best
  discovered insulin. It was used to treat
  diabetes. They were awarded a Nobel Prize for
  the achievement.
• The Sir Adam Beck No. 1 Generating Stationat the
  time the world's largest was opened in 1921 at
  Niagara Falls to provide electricity.
• In 1922, Mechanic Joseph-Armand Bombardier built
  the first snowmobile
• In 1925, Arthur Sicard invented the first
  snow-blower.
• In 1929, the first quick-frozen fish fillets was
  introduced by Nova Scotian Archie Huntsman.

5
Unit 2 1920s Optimism

• The role of women in Canada was also changing.
• In 1920, Esther Marjorie Hill graduated from the
  University of Toronto to become Canadas first
  woman architect.
• In 1921, Agnes Campbell Macphail became the first
  woman elected as a Member of Parliament (MP) to
  Canadas House of Commons. Macphail campaigned
  for peace, civil liberties, social reform and the
  cooperative movement.
• In the 1928 Persons Case, the Supreme Court of
  Canada unanimously decided women were not
  "persons" who could hold public office as
  Canadian Senators. In 1929 the British Privy
  Council reversed the decision, ruled women were
  legally "persons" and could become Senators.

6
Unit 2 1920s Optimism

• Canada was alive
• Jobs in factories (for men) were plentiful.
• Cities were growing in size.
• Entertainment included sports such as hockey and
  football.
• Many people owned cars and many other consumer
  items such as radios, natural gas stoves, vaccum
  cleaners and washing machines.
• Women were socially freer. Pop culture was
  flapper. The dance was the Charleston, and the
  music was Big Band Jazz

7
Unit 2 1920s Optimism

• Could Canada keep growing?
• Trade with the USA
• Canadas biggest trading partner became the USA.
  It was close, and many Americans wanted to buy
  Canadian products.
• Americans could build many things cheaper than
  Canada. To protect Canadian companies, Canada
  introduced TARIFFS. For example, a 35 tariff on
  a American-built car would mean Canadians paid an
  additional 35. in tax for 100. spent on the
  American-built car. Canadians were forced to
  buy Canadian products
• Americans started to invest their money in
  Canadian companies OR build branch plants in
  Canada to avoid tariffs.

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Unit 2 1920s Optimism

• Could Canada keep growing?
• As noted, people owned many big things such as
  cars. Most of these things were bought ON
  CREDIT.
• The STOCK MARKET was booming, and everyone wanted
  to invest and buy shares in companies to make
  easy money. Many small investors bought stocks
  ON MARGIN. This means buying stocks with
  borrowed money. When the stock rises in value,
  you pay back the loan and still make a profit.
• Most of Canadas industrial growth was in HIGH
  RISK AND HIGH COST NATURAL RESOURCE DEVELOPMENT
  (e.g., pulp and paper, mining).
• As noted, TARIFFS reduced Canadas international
  trade while artificially supporting small
  Canadian companies.
• By 1928, 60 of Canadas trade was with the USA.
  In other words, Canada was VERY DEPENDENT on the
  USA.
• Canadas economy was booming, and we were
  PRODUCING MORE PRODUCTS THAN WE CONSUMED.

9
Unit 2 1920s Optimism

• THE GREAT CRASH
• On 29 December 1929, the stock market crashed.
  This day is called BLACK TUESDAY.
• Stock prices began to falland falland fall.
  Between October 29 and November 13 (when stock
  prices hit their lowest point), over 5 billion
  had disappeared from Canadas economy. About 30
  billion was lost in the USA in the same period.
• By 1935, stocks had lost over 50 of their 1929
  value.
• Businesses closed, and Canadas unemployment
  reached almost 27 (higher in some provinces).
• Many families lost all their life savings.