The Great Depression began in 1929 and lasted until 1940. It was the worst economic downturn in US history. Unemployment rose to 25% as businesses closed or laid people off, leading to less consumer spending. The stock market crash of 1929 exacerbated issues of overproduction, high debt, declining demand, and widespread bank failures that devastated the American economy and led to extreme hardship including shantytowns and soup kitchens for many. President Hoover initially took a hands-off approach but eventually implemented some relief programs as the Depression continued to deepen and his popularity declined.