Homework #5

1. Homework #5 • Read – • Chapter 22 Sections 1 & 2

2. REVIEW MID-TERM EXAM

3. Concept #2 – Great Depression & New Deal • Lesson Essential Question #1 – How did the Great Depression reflect the interdependence of the American Economy? • Vocabulary – On margin Relief Public Work programs Bonus

4. Causes to the Great Depression • What were the causes to the Great Depression? • Work with a partner to come up with a list of 5 causes to the Great Depression. • Be prepared to share with class.

5. Causes to the Great Depression 1. 2. 3. 4. 5.

6. Quiz • How much money to Charles Ponzi steal from his investors? • On what day did the stock market experience the greatest crash in history? 3-5. Name three reasons for why prosperity of the 1920s ended. 6. Who emerged as leader in Germany because of the Great Depression?

7. Quiz. • What were the tin-can shanties and tar-paper shacks called? • Who was President when the Great Depression began? • What soared to an all-time high when the stock market crashed? • The Bonus Army was made up of veterans of what war?

8. Stock market reaches a peak in September, 1929 But then…uh oh…

9. Stock Market Falls Oct. 24th, 1929 Selling increased = prices fell = margin calls: everyone who bought on margin loses their money Big Bankers tried to stabilize the market but failed

10. Black Tuesday Oct. 29th, 1929 Stock Market Crashes!! People rush the banks to get their money out. Banks can’t handle that and start closing Banks fall = deposits gone Americans lose their savings

11. What would you do if you woke up tomorrow and all of your savings were gone?

12. The Great Depression What? A worldwide economic downturn that causes hardships for many Americans When? 1929-1940’s

13. The Great Depression • A gradual downward spiral- the whole economy did not collapse overnight What caused the Depression?

14. Causes of Great Depression 1. Stock Market Crash of 1929 2. Bank Failures a over 9,000 3. Reduction in Purchasing a. uneven wealth b. too much production 4. American Economic Policy with Europe a. hawley smoot tariff B. debt payments 5. Drought Conditions a. default on farm loans/mortgages

15. Who was affected by the falling economy? By the mid 1930’s the Great Depression became a problem for entire American society Those invested in the stock market Industrial workers and farmers Small business owners and employees Banks close- almost everyone is affected

16. Social Effects of the Great Depression Unemployment: 25% Homeless: those who couldn’t pay rent became drifters, moved in with relatives, or built make-shift homes “Hoovervilles” Hoover flag Hoover stew Hoover blanket

17. Soup kitchens and bread lines struggled to help large numbers of hungry Americans

18. Social Effects • Finding work • Family problems • Homeless

19. President Hoover’s Plan Hoover believed that confidence in the economy would fix the country’s problems Voluntary controls of business to help re-stimulate the economy Trickle-Down Theory Did it work???

20. Hawley-Smoot Tariff Highest import tax in history Goal: to protect U.S. industries from imports. Buy MADE IN USA Didn’t work: Brought a slowdown in international trade

21. Reconstruction Finance Corp. (RFC) Gave government money to banks so they could extend loans Prosperity at the top helps the economy as a whole Banks continued to fail

22. Hoover’s belief that it’s best to limit relief from the federal government was very unpopular with Americans Problem: • Local governments and private groups could not fix the Depression on their own

23. Bonus Army 1932: 20,000 jobless WWI vets come to D.C. to demand their pension bonus that was promised to them Army was called in to force the vets out of Washington

24. Class Work • Exploring Local History Worksheet • Read “I remember….” & Christmas during the Great Depression • Read as a class • With a partner, create your own short story about what you remember from your life during the Great Depression

25. Homework #6 • Read • Chapter 22 Sections 3, 4 & 5

26. Exit Ticket • Herbert Hoover’s plan to fix the Great Depression was to allow the economy to fix itself. Was this the correct decision? If you were President what may have you have done?

27. Concept #2 – Great Depression & New Deal • Lesson Essential Question #2 – • How did government policies during the Great Depression affect the stability of the economy? • How did the Great Depression affect economic growth and stability in the United States? • Vocabulary – • Fireside chat

28. Comparing Two Plans • President Hoover and President Roosevelt had two very different approaches to dealing with crisis of the Great Depression. • Create 2 lists comparing/contrasting their two plans. • Be prepared to share with class.

29. Comparing Two Plans Herbert Hoover Franklin Roosevelt

30. Quiz • What disease was FDR stricken with? • When did FDR become President? • What was the name of the FDR’s plan for the Great Depression? 4-6. Name three of the programs that FDR passed during his first 100 days.

31. Quiz 7. What was the name given to the people who advised FDR? • What disaster did the farmers deal with in the 1930s? • What group set up codes for fair practices – prices, production levels…? • Name one of the programs established to give citizens more jobs.

32. Franklin D Roosevelt • Born to wealthy NY Family • Law school, Asst Sec of Navy • Married 5th cousin Eleanor Roosevelt • 1921 – Polio • 1928 – Governor of New York • 1932 – Democractic nominee for President

33. Election of 1932 Franklin D. Roosevelt, Democrat, wins by a huge margin over Hoover Promised New Deal Help jobless, farmers & elderly Represented hope for some Americans

34. First Hundred Days • Between March and June 1933 FDR and Congress put into effect programs to create jobs and get the economy going • FDR – “take a method and try it. If it fails, admit it and try another. But above all try something.” • Why do you think FDR said this? Why was it so encouraging for America?

35. Help the Banks • 2nd day in office – “Bank Holiday” • FDR orders all banks to close and passes the Emergency Banking Act • Create insurance for bank deposits Finally, deposits > withdrawals!

36. Fireside Chats • FDR – speak to American people over radio • 30 speeches while in office

37. 3 Goals for New Deal • Relief for the unemployed • Plans for recovery • Reforms to prevent another depression

38. 1. Reduce Unemployment and give Relief Use government money for public works programs These programs gave jobs to the unemployed and built up the nation’s infrastructure at the same time

39. Relief Federal Emergency Relief Administration (FERA): Provided federal gov. money to those in desperate need

40. Relief • Civilian Conservation Corps (CCC) • Hired unemployed single men 18-25 • Worked outdoors • Works Progress Administration (WPA) • Jobless to build hospitals, schools, parks, playgrounds and airports • Critics

41. 2. Helping Businesses National Industrial Recovery Act (1933): set codes and regulations for businesses to stop falling prices National Recovery Administration (NRA): blue eagle stamp Public Works Administration (PWA): hired workers Agricultural Adjustment Act – Paid farmers not to grow certain crops Paid famers to plow under surplus Rural Electrification Administration (REA) – extended electric lines to rural areas

42. 3. Prevent Another Depression • Federal Deposit Insurance Corp (FDIC) • Insured savings accounts • Securities and Exchange Commission (1934): regulates the stock market

43. Class Work • FDR Political Cartoon Analysis • Letters from Listeners

44. Homework #7 • Read – • Chapter 23 Sections 1 & 2

45. Exit Ticket • Will FDR’s plan, the New Deal, work? What flaws/benefits do you see in his plan?

46. Concept #2 – Great Depression and New Deal • Lesson Essential Question #3 – What criticism were there of FDR and the New Deal? • Vocabulary – Collective bargaining Sit-down strike Deficit spending

47. What were the successes and failures of the New Deal? • Work with a partner to come up with a list of at least 5 successes and/or failures of the New Deal • Be prepared to share with class.

48. Successes/Failures of New Deal 1. 2. 3. 4. 5.

49. Quiz • What act was passed by Congress in 1935 to spur labor? • What new kind of strike did workers begin to use? • What was Huey Long’s nickname? • Where did Father Coughlin speak to the American people?

50. Quiz 5-7 What three groups was the Social Security Act setup to help? • Who won the 1936 election? • What occurred on “Black Monday”? • What happened in 1937?