Today we started Great Depression Projects.
1. What were the causes of the stock market crash of 1929 and the Great Depression? Stock Market - Government had no regulation. Prices were grossly inflated, borrowing to much from banks, overproduction of goods, and buying on margin. The people kept buying and selling stocks that eventually crashed, so they couldn't pay off their loans so many went broke. Between 6 and 7 million people were unemployed. Vicious Cycle. By 1932 12 million were unemployed.
Great Depression - Stock Market Crash, Bank Failures - no insurance, drought, overproduction of goods.
2. What impact did the stock market crash and Great Depression have on the lives of people in the United States?
Stock Market - bankruptcy, stock prices plummeted, Unemployment, women tried to find work, 25% of families didn't work, Homelessness, Starvation and illness, Farming - went from rural to urban, farmers killed livestock to lower expenses and lower overproduction, the dust bowl, suicide/crime rate
3. What did the United States government do to help alleviate the problems the Great Depression brought to our country?
President Hoover - 31st President, didn't expect the crash and depression, served as head of food administration and secretary of commerce, blamed for poverty, Hoovers Philosophy - laissez faire, Trickle down , Rugged individualist, RFC - gave loans out to banks to create jobs
Roosevelt-New Deal(Goals/1st and 2nd)How did the New Deal impact the following: Roosevelt's plan to get economy on track 4 major goals - Economic, Job Creation, Civic Uplift, Invest in Public Workings. Three R's - Relief, Recovery, Reform. Goals - Use own national resources, security against old age, Unemployment and Illness, Slum clearance
unemployed - Around 6 agencies that helped unemployment. Built over 900,000 public buildings. This would provide jobs to help make the building. You would also have to buy supplies from another company. Public Works Administration - 1933-1939. National Industrial Recovery Act. Large-Scale Public Works - Empire State Building. Works Progress Admin - 1935 - 1941. Had 4 separate agencies. Civilian Conservation Corps - 1933 - 1941. Sent men 18-25 years old to forest to teach different jobs related to the forest. Major Projects Built - Hoover Dam, Lincoln Tunnel, Overseas Highway.
young people - Schools closed or they dropped out of school. They decided to ride the rails and find a different town to find a job. They also left because their parents couldn't pay for them especially if they had younger siblings. Civilian Conservation Corp (CCC) - Just men. This was ran by the US Army. Consisted of outside work. National Youth Administration (NYA) - Helped young people get many jobs. Helped them pay to stay in college.
factory workers/labor unions - Wagner Act (National Labor Relations) - Guarantees basic rights of private sector employees to organize into trade unions. Engage in collective bargaining. Also allowed employees to strike if they needed to. Fair Labor Standards Act of 1938 (FLSA) - Also known as Wages and Hours Bill. Introduced maximum 44 hour seven-day work week. Established minimum wage. Time and half-overtime for certain jobs. Prohibited most child labor (Couldn't do dangerous jobs. Under 16 yrs old - couldn't work during school hours). Roosevelt called the FLSA the most important act of the New Deal since the Social Security Act. National Industrial Recovery Act (NIRA) - Authorized the president to regulate industry in attempt to raise prices. Labor Unions - Organized association or workers, often in a trade or profession, formed to protect and further their rights. 1933- 3 million labor union members (declining members).
farmers - AAA - Agricultural Adjustment Act, FSA - Farm Security Administration, FFB - Federal Farm Board - They stored crops in bins until the prices rose up. SCADAA - Soil Conservation and Domestic Allotment Act. AAA - "Main crops" - corn, cotton, wheat. Produce less, price had doubled in 3 years, crops were ploughed back. Jobs - 2.5 million men left. Incomes doubled for farmers. Left many unemployed. Some lost farms. Dorothea Lange - photographer who took pictures during the Great Depression. She got a job during the FSA.
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/African-American/ - 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.
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
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.
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 - 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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