1. What were the causes of the stock market crash of 1929 and the Great Depression?
The Stock Market Crash of 1929 was preceded by fluctuations in the market the week prior (Black Monday and Black Thursday). Buying on margin was something that banks did to sell stock, you only had to pay a small amount to get a high dollar stock. Overproduction was one of the main causes of the crash, the businesses who were making the products were forced to close, making their stock worthless. Stock pooling is another cause of the crash, and this is when one person buys as much stock in one company as they could, driving the price up. Then they would sell it a very inflated price. The events leading up to the Great Depression is known as the Spiral Era.
2. What impact did the stock market crash and Great Depression have on the lives of people in the United States?
Panic had a very big impact on people during the stock market crash. People lost many of their possessions to the bank because they could not pay it off. The crash can be attributed to over 23,000 suicides. After the crash many people lost faith in the stock market and would never put money in the banks again because they feared they would lose it again. Unemployment skyrocketed to over 25% during the Depression. Crime rates increased, mass migrations, divorce rates dropped, higher education seemed out of reach during the Great Depression.
3. What did the United States government do to help alleviate the problems the Great Depression brought to our country?
President Hoover
MY TOPIC
Roosevelt-New Deal(Goals/1st and 2nd)
Roosevelt thought that the government is responsible for everyone, especially those who are suffering. He raised prices and wages, and implemented his three "r"s. The three "r"s were relief, recovery, and reform. The New Deal put in the Social Security Act, one of the only New Deal programs that are still around today. There were two new deals, the first lasted from 1933 to about 1934 and was aimed at getting the economy back up and running, the second lasted from 1935 to about 1938, and it focused on helping individual people/groups.
How did the New Deal impact the following:
unemployed?
Public Works Administration (PWA) helped people get jobs, created a lot of construction projects, schools, hospitals, bridges, aircraft carriers, houses, etc. There were a lot of dam projects in the 1930s. The finished product would then provide job like teaching and nursing. Civil Works Administration (CWA) created more construction projects, and they hired over 4 million people. Costed the government $800,000,000 and was ended in less than a year.
young people?
Young people were usually unable to go to school, and they had to work to help support their family. Young men could work for the Army and send their pay back to their family, it also helped them get a better outlook on life. The National Youth Administration kept people in school, mainly for college students, and you could also work at the same time. Over 327,000 students were able to use this Administration.
factory workers/labor unions?
During the Great Depression factory workers and labor unions tried to make sure that they could keep all of their benefits and wages. NIRA (National Industrial Recovery Act) started the NRA and put an end to cutthroat competition(lowering prices to take over a sector of business). It was regulated by the President. The Wagner Act helped labor unions with collective bargaining, and the FLSA helped with hours, wages, and overtime.
farmers?
elderly/poor?
If you were unemployed you were most likely were poor too. The construction projects and administrations that were set up, were mainly for the poor. The social security administration was created by the government to provide income for the elderly, disabled, and anybody else who was unable to work. There was a lot of dam projects in the 1930s.
homeowners?
artists/musicians?
women/African-American/Native Americans?
banks?
stock market?
energy?
4. What long lasting impact did the Great Depression have on:
Shelby County?
Iowa?
US?
World?
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