Chapter 10 The Great Depression 1929-1941

1. Chapter 10 The Great Depression 1929-1941 Images from Google Images

2. Roaring Twenties – Thinking about the “today” Jazz Age “flappers” symbolic of women’s increasing freedoms Electricity more available Demand for electric appliances Mass media & changing attitudes Installment buying “Buy now, pay later.” Assembly line “We’ll hold the distinction of being the only nation in the history of the world that ever went to the poorhouse in an automobile.” Will Rogers Humorist and Actor

3. “. . . The worst domestic crisis in the United States since the Civil War.” -TAJ Section 1 The End of Prosperity

4. The Stock Market The Boom The Crash 1920’s booming economy- nation’s leaders felt the nation had entered a “new era of prosperity for all.” Stock exchange- buying and selling shares in corporations Everyone was investing in the stock market. Some bought stock “on margin” – borrowing from stock brokers- brokers would borrow from banks Fearing the boom would end, some investors started selling their stocks (late September) Brokers demanded to be paid back (forcing people to sell)

5. Prices plunged (millions sold) October 24th- 13 million shares sold, Oct. 29th 16 million. New York Stock Exchange closed for a few days to prevent more panic selling. October 29th Black Tuesday “The selling pressure was . . . Coming from everywhere. The wires to other cities were jammed with frantic orders to sell. So were the cables, radio, and telephones to Europe and the rest of the world. Buyers were few, sometimes wholly absent.” Journalist Jonathan Norton Leonard

6. After the crash of the Stock Market in October, 1929, the United States went into a period of severe economic decline. This political cartoon shows a family canoeing through the rocky rapids of vacation costs.

7. According to the line graph, in what period did stock prices rise dramatically? Based on the graph, in what year did the average price per share of stock rise $100?

9. Small banks suffered when people defaulted on their loans. Between 1930 and 1933, thousands of banks closed.Millions of depositors lost their money. The Great Depression Growing gap between rich people and most Americans. Unbalanced Economy 1929- Less than 1% of the population owned nearly 1/3 of the nation’s wealth. 75% on poverty or at the edge of it Credit Crisis Borrowed money fueled much of the economy in the 1920s FARMERS, CONSUMERS, INVESTORS Large banks suffered greatly after the stock market crash, they had investments in the stock market as well.

10. International Depression Banks dried up Joblessness and Poverty Industrial cities were the hardest hit. Weaknesses - the economy sapped the strength of the foreign economy When International trade slowed there was less money to spend. Millions lost their jobs. 1932- 25% out of work. Those who still had jobs were reduced to part-time or had their wages reduced. Long lines of hungry people…lined up for soup kitchens. “a feeling of worthlessness – and loneliness; I began to think of myself as a freak and misfit.”(Newly unemployed New Yorker Sidney Lens.)

13. Hoover and the Crisis Public works projects The Bonus Army Government Action President Hoover thought the crisis was temporary and that prosperity was “just around the corner.” Hoover thought the depression could not be cured by legislative action. He felt voluntary actions would pull that nation through. He called on business leaders to NOT cut wages or production of goods and charities to help the needy. Congress had agreed to give a $1,000 bonus to WWI veterans in 1945. Out of work vets wanted it NOW. 20,000 veterans marched on Washington, D.C. Resulted in CONFLICT.

14. During the Great Depression, many families lost their homes because they could not pay their mortgages. These people had no choice but to seek alternative forms of shelter. Hoovervilles, named after President Hoover, who was blamed for the problems that led to the depression, sprung up throughout the United States

15. Election of 1932 Franklin D. Roosevelt will become the next President of the United States of America.

16. “This nation asks for action and action now!” Inaugural address (March 4, 1933) Section 2Roosevelt’s New Deal

17. Franklin D. Roosevelt Early Years of Promise 1905- Married Eleanor Roosevelt 1910- New York Senator 1913- Assistant Secretary of the Navy 1920- Democratic candidate for Vice President (Democrats lost to Warren Harding) Stricken with polio in 1921- paralyzed in both legs Return to Politics “Once I spent two years lying in bed trying to move my big toe- After that anything else seems easy.” 1928 and 1930 – Governor of New York -National reputation as a reformer Took advice from “Brain Trusts” –Group of people- lawyers, economists, social workers, etc. Acceptance speech for Democratic nomination: “I pledge you, I pledge myself, to a new deal for the American people.”

18. FDR Takes Charge Landslide victory- Showed people clearly wanted a change! Inauguration March 4, 1933 “The only thing we have to fear is fear itself- nameless unreasoning, unjustified terror.” Greatest primary task is to “put people to work.” Restoring Confidence in Banks The Hundred Days Sent 15 proposals to Congress; They were all approved 2 days after inauguration, ordered all banks closed for 4 days. Passed Emergency Banking Relief Act – system of reorganization. Special Session of Congress to launch programs (took 3 months) Fireside Chats-gain people’s trust By mid-March, ½ banks were already reopened.

20. Hundred Days chart “In March 1933, the New Deal was not a plan . . .It was a happy phrase [FDR] had coined during the campaign. It made people feel better and in that terrible period of depression, they needed to feel better.”

21. The New Deal takes Shape Jobs and Relief Work Relief – giving needy people government jobs Asked congress to create the CCC (Civilian Construction Corps) to work on projects that would benefit the public (planting trees/reforestation, building levees for flood control, improving national parks.) Over the next 3 years, employed 3 million people. FERA (Federal Emergency Relief Act) Gave money to states to help people in need Rebuilding a Region AAA (Agricultural Adjustment Act) Goals: To Raise farm prices, control production so the prices would stay up. One of the boldest programs was the TVA (Tennessee Valley Authority.) TVA to control flooding and promote conservation and development; Bring electricity to rural areas along the Tennessee River.

22. Which state was not supplied with power by the TVA? S. Car., GA, AL, or MS The Kentucky dam was on which river? Tennessee Valley Authority Map Which dams were in the state of AL? Some southern states wired with electricity for the first time.

23. Helping Business and Labor NIRA and NRA PWA (Public Works Administration) Stimulate the economy through building of huge public works projects that needed a large number of workers. FDIC (Federal Deposits Insurance Corporation)- insured savings accounts in banks approved by the government Assessing the Early New Deal New Deal did not cure all of the nation’s ills; The Depression dragged on Panic of 1932 and 1933 had receded Restored some measure of confidence

24. Congress passed NIRA (National Industrial Recovery Act.) Roosevelt called it “the most important and far-reaching legislation” ever passed in the U.S. It was aimed at boosting the economy by helping business regulate itself. The NIRA created the NRA -National Recovery Administration- which encouraged businesses to set a minimum wage and abolish child labor.

25. New Deal Opponents Demanding More Reform FDR called “Franklin Double-Crossing Roosevelt” on radio by Priest Charles Coughlin Frances Townsend called for monthly pensions of the elderly (made people think about their problems) Senator Huey Long complained FDR hadn’t taken steps to redistribute the wealth. Came up with “Share Our Wealth Plan” Tax the rich heavily and use the money to provide a home for all Americans and give them money. Long had a lot of supporters and looked like a competitive candidate for next presidential election. Assassinated in 1935.

26. Second New Deal Creating Jobs WPA (Works Progress Administration) led by Harry Hopkins, kept 2 million employed between 1935-1941. Built or repaired about 800 airports, 125,000 public buildings, 75,000 bridges, and 650,000 miles of roads. Help for Those in Need Social Security Act – Taxed workers and employers to provide pensions for retired (also helped disabledand children whose parents did not have enough money to care for them.) WELFARE OF ALL CITIZENS. Unemployment Insurance – payments to those who lost their jobs.

27. The Labor Movement Grew stronger 1937- General Motors Plant in Flint, Michigan held a “sit-down“ strike. Workers stayed on the job, but refused to do their work. John L. Lewis, head of the United Mine workers- tried to unite workers in all industries. CIO- Congress of Industrial Organizations.—based on industry not skill

28. A Second Term Alfred M. Landon, ran against Roosevelt for the Presidency. Roosevelt campaigned as the “Champion of the Average American.” He said big businesses and rich “are unanimous in their hate for me.” Those who opposed the New Deal Programs challenged them as unconstitutional. Some reached the Supreme Court. Some, like the NIRA (National Industrial Recovery Act) and the Agricultural Adjustment Administration, were determined to be unconstitutional. The Supreme Court COULD IT KILL ROOSEVELT’S NEW DEAL PLANS?

29. Roosevelt’s “Court-Packing” Plan To keep the Supreme Court from undoing the New Deal, Roosevelt asked the number of justices to be changed from 9 to 15. He would appoint the new justices. This caused a loss of support for Roosevelt. People felt he would undo the system of “Checks and Balances.”

30. The Roosevelt Recession Summer of 1937- the National income was almost back to what it was in 1929. Thinking the Depression was over, FDR tried to reduce government debt by cutting spending on relief and job programs. The economy was greatly hurt- called the “Roosevelt Recession.” Farm prices dropped and 4 million people lost jobs. Roosevelt had to immediately pour government money into public works projects to reverse the recession.

31. The End of the New Deal Court-Packing and Roosevelt Recession lost FDR support in Congress. The economy was not fully recovered. Americans began to focus on dangerous forces on the rise in Asia and Europe.

32. Chapter 25 Section 3Life During the Depression

33. Hard Times in America INCOME FOOD SECURITY Frances Perkins- FDR appointed- 1st woman to serve on a President’s cabinet Hattie Caraway- 1st woman to United States Senate Eleanor Roosevelt- Her husbands “EYES AND EARS” -FDR appointed more than 100 women to federal posts. Most Americans had to learn to deal with LESS Women Go to Work Women should not work, if there are men unemployed. Women get paid less. PREJUDICES Work harder in the home. Advances

34. The Dust Bowl Southern Great Plains environmental disaster of 1930s.

35. What caused the Dust Bowl? Using new technology (tractors, disc plows, etc.) farmers had cleared millions of acres of land for farming. Drought of 1931- Crops died- Soil dried out – Prairie winds blew away the soil. “Black Blizzards” “These storms were like rolling black smoke. We had to keep the lights on all day. We went to school with headlights on, and with dust masks on.” (Texas boy)

36. About 400,000 farmers went to California to become migrant workers. (moving from place to place to harvest vegetables.) “Okies” – Those Dust Bowl farmers that arrived in Oklahoma “They came in decrepit [broken-down], square-shouldered [cars] . . . That looked like relics of some antique culture . . . Piled high with mattresses and cooking utensils and children, with suitcases, jugs and sacks strapped to the running boards.” (observer- from TAJ)

37. The Plight of Minorities African Americans In south, more than½had no jobs. More than 400,000 African-American men, women and children migrated to northern cities. FDR appointed some African-Americans to federal posts- His “Black Cabinet” included Ralph Bunche and Mary McLeod Bethune. Native Americans John Collier- head of Bureau of Indian Affairs proposed the Indian New Deal- stopped sale of reservation land; provided government jobs for Native Americans through CCC. Got Congress to pass the Indian Reorganization Act- restored traditional tribal governments and provided $ to expand some reservations. Hispanic Americans Politicians and labor unions demanded they be forced to leave. Government encouraged them to leave with 1-way train tickets; rounded many up and shipped them back across the border.

38. Radical Political Movements Radicals- advocate extreme and immediate change Socialists and Communists viewed the Depression “not as a temporary economic problem, but as the death of a failed system. Fascist- (Germany and Italy) Philosophy holds the individual second to the nation and advocates a government ran by dictatorship. 1936- Spanish Civil- Germany and Italy supported Fascist take over of Spanish Government. Although U.S. stayed neutral, more than 3,000 Americans went to Spain to fight the Fascists.

39. Social Criticism Escapism Entertainment and the Arts At the Movies Images of the Times 85 million went to movies to escape worries of the day Portrayed grim realities of Depression Life Photographers/Artists: Margaret Bourke-White- Plight of American Farmers Dorothea Lange- Migrant workers Grant Wood- Artist- portrayed ordinary people during the Depression Soap Operas became popular

40. Dorothea Lange

41. Margaret Bourke-White The Great Migration

42. Grant Wood