Today is presentation day
1. What were the causes of the stock market crash of 1929 and the Great Depression? People kept buying and selling stocks. People went broke in the stock market and couldn't pay off loans. People tried to sell stocks for more than they were worth and no one would buy it. 6 to 7 million people were unemployed. by 1932 12 million unemployed.
Great depression- Stock market crash, Bank failures, drought conditions so farmers lost money, High tariffs halted trade with other countries. Overproduction of farming goods made farmers poor.
2. What impact did the stock market crash and Great Depression have on the lives of people in the United States? People had no money, Unemployment. Women tried to find work. Homeless people went to Hoovervilles which were a bunch of small crappy houses were people lived. Riding railroads was jumping on a train and looking for a job. Starvation and illness. Dust bowl. Suicide and crime rate went up.
3. What did the United States government do to help alleviate the problems the Great Depression brought to our country?
President Hoover- Only Iowa president 31st president. said that one day poverty would be gone in america. Blamed for poverty. He didn't think that government should bail people out with money. Hoovers Philosophy (stay out of business's, smaller taxes on rich so they hire more people, and get it down on your own and work hard.) RFC (Reconstruction Finance Corporation) Gave loans out to states banks and local governments so they could make jobs for people.
Roosevelt-New Deal(Goals/1st and 2nd)- second one helped out people more so than business's and banks.
How did the New Deal impact the following:
unemployed,- 6 agencies to help unemployed. Hired people to help build roads, houses etc. also having people buying things would help other businesses. WPA, PWA, CCC
young people,- Had to fend for themselves. Most left school. NYA offered programs for out of school youth. Jumped on trains and rode to other cities looking for jobs.
factory workers- Same as labor unions.
labor unions- Wagner act allowed people to form labor union and strike, FlSA act 44 hr work week 7 hour seven day work week, established minimum wage, time and a half for overtime work. Prohibited most child labor. Children cannot work during school hours. Children under 18 cannot do dangerous jobs.
farmers- farmers were overproducing so they were paid to produce less. Fsa ffb Scadaa AAA, 2.5 million men left.
elderly - Social Security Act - Fiscal Year - Tax Year. Age 65 or Jan. 1st, 1942. Old age assistance = payments to aged individuals. Poorhouses. Per Centums = Percent. Overall - dependence on family (child, elderly, then parents). Children = orphanages. Elderly = poorhouses or charity. Hard work doesn't guarantee financial security. Most expected government to assist.
poor - Food - Breadlines, soup kitchens. Most were unemployed. Operated By - Churches, charities, and government.
homeowners - Home ownership rates fell sharply and housing prices plummeted. Interest rates fall as the Federal Reserve quickly trims the discount rate in hope of cushioning the business cycle. National Housing Act - June 28, 1934. (Also called Capehart Act). Designed to stop bank foreclosures on family homes. Created the Federal Housing Administration and the Federal Savings and Loan Insurance Corporation. Federal Housing Administration (FHA) - Mande housing and home mortgages more affordable. Federal Savings and Loan Insurance Corporation (FSLIC) - Insured deposits in savings and loans. United States Housing Authority (USHA) - Designed to lend money to the states or communities for low-cost construction. Homeowners' Loan Corporation (HLC) - Its purpose was to refinance home mortgages currently in default to prevent foreclosure.
artists/musicians - Artists - It was a time of exploration. Sought for popularity. People from New Deal programs hired them to paint for their programs. Art was deemed worthy. Expressed themselves. Federal Art Project - It was "The Visuals Arts Arm" of the Great Depression. Came from New Deal Works Progress Administration called Federal One. Went from August 29, 1935 until June 30, 1943. Notable Artists - American Gothic - Created by Grant Wood from Anamosa, Iowa. Musicians - Federal Music Project (FMP) - Employed musicians, conductors, and composers. Concerts/Festivals. Music lessons. Objectives of FMP - Get people interested. Happiness, music educations, equality, teach children, distract people from the Great Depression.
women - Boys got educated. Women working together. Women stayed at home. Men went out and worked. They wore less fancy clothing with less makeup. Federal Emergency Relief Administration (FERA). Eleanor Roosevelt supported. Brought families together. Provided work and loans. Works Progress Administration (WPA). Ellen S. Woodward. 1 of 3 members in Social Security Board. Superviser. What the WPA did - Women worked gardening and canning during the summers. School lunchrooms during the year. 31 cents an hour. More than 1,000 were employed as housekeepers. Sponsors would provide money Provide rent and utilities. Provide materials like library books. Blacks had less. Only 709 black females held WPA jobs. Worked in cotton fields. Working Conditions - Many women were forced to find jobs. Wages for working women in the 1930s was only $5 per week. Life threatening.
banks - Were many withdrawals, a lot of closings and failures, 3 day periods(bank holiday)-closed for about 3 days to see what would happen, FDIC(Federal Deposit Insurance Corporation)- ensures peoples money in the bank, don't ensure credit unions, FRS (Federal Reserve System)-
stock market - buying on margin, not enough money to buy stocks, used some of there own money, borrowed rest, if price fell lower, than the loan amount there could be a margin call that lead to overpriced stocks, 90% decrease from 1932-1929, Security Act of 1933-stocks, bonds, objective was to require that investors receive financial and other significant information concerning securities being offered for public sale, prohibit deceit, misrepresentations, and other fraud in the sale of securities. Wanted to enable investors to make their own judgements about buying securities, and investors who have losses can try to prove there was inaccurate information. U.S. Securities and Exchange Commission (SEC)-there was little support for federal regulation of securities market before the crash of '29, it interpreted and enforced laws, made new rules and fixed the old, and could oversee inspections of securities firms, brokers, investment advisers, and rating agencies, and coordinating stocks SEC-made the stock market safe and secure.
Native Americans-
banks - Withdraw restrictions, closings/failures, 3 day periods = banks close for 3 days to rebuild/bank holiday(set up by FDR)"Only thing you have to fear is fear itself"; FDIC (Federal Deposit Insurance Corporation)= insures peoples money in the bank
energy- Rea (rural electric administration) Brought electricity to farms. Tva Tennese valley authority Built dams and brought energy to communities prevented floods. Many people didnt like it they thought it brought our government closer to socialism.
4. What long lasting impact did the Great Depression have on Shelby County, Iowa, the US and world
Shelby County - Kids helped their parents out, banks losed, tried growing gardens, shocked corn. Food stamps, IOU's in Earling, Counties average farm value was $149, corn priced skyrocketed in 1934.
Iowa - During WWI farmers worked to produce record setting crops, Burned corn instead of coal, prices skyrocketed, called the dirty '30s-crops were destroyed from heat, dryness, and grasshoppers.
U.S. - Many businesses perished during this time period but many flourished with Mass Migration. Upstate New York and Rural New England lost many people seeking new opportunities. Many of the people were adolescents seeking new life because they have younger mouths to feed. The great depression brought a rapid change in crime rate, such as suicide, prostitution, alcoholism, and health care. Universities lost students and closed. Marriages were delayed so the males could provide for the families. Rates of divorce dropped steadily in the 1930’s because many men chose to run from their families and not get a divorce.
World - France – High unemployment. Overthrew the government. “Popular Front” took over the country. Germany – Reparations because of WW1. Adolf Hitler came to power. Japan – No natural resources. Invaded China. Soviet Union – Note affected. Joseph Stalin (Put Soviets in concentration camps). Great Britain – Depended on exports. Had high unemployment.
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