Here's a story of success plucked from adversity: the story of Hollywood's response to the Great Depression. The movie industry's triumph in the 1930s lay in giving the public what it wanted to see. Its product was therapeutic diversion for millions of Americans who needed to get away from their troubles.

Did the Great Depression affect the film industry?

By 1933, movie attendance and industry revenues had fallen by forty percent. To survive, the industry trimmed salaries and production costs, and closed the doors of a third of the nation's theaters.

How did the film industry survive the Great Depression?

Providing a place of escape for the public allowed the film industry to survive the hardships of not only 1932, but the unparalleled unemployment level of 1933. Theaters adjusted to fit their audience's new budgets, and managed to drop ticket prices, while continuing their ledgers move back toward the black.

Did Hollywood thrive during the Great Depression?

Although the stock market crash of 1929 marked the beginning of the Great Depression, 110 million people still went to the movies in 1930. The introduction of sound proved enticing and Hollywood's profits continued.

Why did the movie industry grow during the Depression?

At an average price of $. 27 a ticket, movies offered a relatively inexpensive way to vacation from reality. Always popular, this sort of diversion was especially sought-after during the Great Depression. Audiences gloried in spectacular fantasies of high society and easy living that they would never know.

The Great Depression - 5 Minute History Lesson

How did the Great Depression affect entertainment?

Although times were difficult during the Great Depression due to the economic circumstances, many forms of popular entertainment flourished. In addition to the many popular radio programs, the transition from silent films to sound pictures was complete by 1930, ushering in a Golden Age of Hollywood cinema.

How did the Great Depression affect production?

In the United States, where the Depression was generally worst, industrial production between 1929 and 1933 fell by nearly 47 percent, gross domestic product (GDP) declined by 30 percent, and unemployment reached more than 20 percent.

Who thrived during the Great Depression?

Not everyone, however, lost money during the worst economic downturn in American history. Business titans such as William Boeing and Walter Chrysler actually grew their fortunes during the Great Depression.

What was Hollywood's response to the Great Depression?

Hollywood understood the shame of standing in breadlines and the helplessness of losing a job. Musicals such as Gold Diggers of 1933, 42nd Street, and Footlight Parade directly addressed the Depression. Subsequently, this strategy by Hollywood made these three musicals the highest money making ones of the decade.

Why did Hollywood enjoy a golden age during the Depression?

During the 1930s, the entire film industry transformed and “Hollywood” became synonymous with big studio pictures and became the standard for movies around the world. Films became cheaper to produce as studios vertically integrated the production process, which allowed the price of film attendance to go down.

What industries survived the Great Depression?

Despite the widespread impact of the Great Depression in America, two industries did not suffer. These industries included entertainment and alcohol. Alcohol, although previously prohibited in the 18th Amendment years earlier, was made legal to produce and sell again with the passage of the 21st Amendment in 1933.

What was a popular movie during the Great Depression?

The Invisible Man (1933)

A science fiction/thriller was perfect for The Great Depression. People needed an opportunity to suspend disbelief. As the stock markets crashed around them, having a movie that provided thrills was what people needed.

How much money did Hollywood make during the Great Depression?

The evolution of the industry through the Depression can be grasped in part through numbers. Box-office receipts bottomed out in 1933 at $480 million, gradually growing to $810 million in 1941, which slightly exceeded the $720 million receipts of 1929.

Which industry was hit the hardest because during the Great Depression?

In dollar terms, American exports declined over the next four years from about $5.2 billion in 1929 to $1.7 billion in 1933; so, not only did the physical volume of exports fall, but also the prices fell by about 1⁄3 as written. Hardest hit were farm commodities such as wheat, cotton, tobacco, and lumber.

What industry struggled the most during the Great Depression?

Key growth industries, notably construction and automobile manufacturing, were particularly susceptible to the declines in consumer confidence and incomes. The falls in profitability were especially marked in the steel, oil, machinery, and automobile sectors.

What impact did Hollywood have on the 1920s?

During the '20s, Hollywood bolstered its position as world leader by recruiting many of Europe's most talented actors and actresses, like Greta Garbo and Hedy Lamarr, directors like Ernst Lubitsch and Josef von Sternberg, as well as camera operators, lighting technicians, and set designers,By the end of the decade, ...

Why was the biggest reason why so many people attended movies during the Great Depression?

Above all, when Americans went to the movies during the Great Depression, they did so as a means of escapism. They sought relief from their concerns through a good laugh, a good cry, a lyrical song, or by seeing good triumph over evil.

How did Hollywood help people escape some of the despair of the Depression?

Seeing High-Tech Hollywood Movies

Tickets on average cost under a quarter for the whole of the 1930s, down from 35 cents in 1929, so spending time in the cinema was an affordable form of escapism for many.

What assets did well in the Great Depression?

Obviously, stocks did horribly during the Great Depression. But bonds did well. Interest rates and bond prices are two ends of a seesaw. When bond yields are rising (usually from investors anticipating higher inflation), bond prices go down–and vice versa.

How did people get rich during the Great Depression?

There were a lot of people who made money during the Great Depression. People who had money in investments and stocks did very well, as did those who owned land. There were also many people who became very successful by starting their own businesses.

What is the best investment during a Depression?

Domestic Bonds, Treasury Bills, & Notes

Mutual funds and stocks are considered to be a big gamble during depressions. While Treasury bonds, bills, and notes are more secure investments. These items are issued by the U.S. government. They give the purchaser a fixed rate interest once they mature.

What major industry failed helping to cause the Great Depression?

The failure of the banking system is another main cause of the Great Depression. After the stock market crashed, people panicked and rushed to withdraw their funds from the banks.

What was the worst economic crisis in history?

The Great Depression lasted from 1929 to 1939 and was the worst economic downturn in history. By 1933, 15 million Americans were unemployed, 20,000 companies went bankrupt and a majority of American banks failed.

What was the worst depression in modern history?

The term "Great Depression" refers to the greatest and longest economic recession in modern world history. The Great Depression ran between 1929 and 1941, which was the same year that the United States entered World War II in 1941.

How did movies made during the Great Depression reflect the time period?

Hollywood responded to the Great Depression almost immediately after the crash of 1929. The films produced were either “social conscious” dramas that reflected the plight of the farmers and white-collar workers who suddenly found themselves in a bread line, screwball comedies or escapist musicals.