The effect and bearing of the great depression were distressing to Newfoundland and Labrador’s export-based economy. An unexpected crash in universal trade intensely decreased revenue from mineral, fish, paper, and pulp exports. Revenues and revenues decreased from $40 million in 1930 to only $23.2 million during 1933. It leads to shrinking income.The administration responded to the catastrophe by lending more money and liabilities from abroad. As the depression goes deeply, yet, the pool of willing lenders dried up. Two countries which are Britain and Canada are so worried that it would reflect badly on the Empire if it will be failed to meet its interest payments and agreed to lend the administration’s money in return for several franchises. One was the arrangement of a financial advisor to help unify the country’s finances.
