Ch. 9 Depression, War, and Recovery

1. Ch. 9 Depression, War, and Recovery

2. Hard Time • 1930’s- hardest economic times • Crop prices plunged, banks shut down, millions jobless • Nation plunged into WWII, made the U.S. the most powerful country in the world

3. The Great Depression • Began in October 1929 with a stock market crash • Banks failed, crop prices fell, many lost jobs • Men left home in search of jobs • Term- Hobo’s was created

5. Causes • Low Wages • Prices fall • Little trading • Banks fail • Dust Bowl

6. Causes • Factory workers not paid well-> could not buy goods • Crop prices fell->could not pay debts to banks • Little trade with European countries • WHY? • Banks • Loaned to investors, couldn’t pay debts, banks failed

7. A Vicious Cycle • People lost their money in banks • Could not buy goods • Businesses failed • Lost jobs • Unemployment rate • 3.2% to 24.9%

8. Failing Banks • Banks take deposits then loan money • Charge interest on those loans • People started to pull money • Banks fail • (Explain on board)

9. Getting By • In NC • Gov. O. Max Gardner sponsored “Live at Home” • Encourages farmers to plant food crops, not cash crops • Churches, local gov. etc. tried to help

10. Depression on the Farm • NC farmers suffered from WWI • Why? • Farmers took a huge hit • 1929 Profits= $280 million • 1932 Profits= $122 million 56% loss • 200 banks failed in NC • (Reading from the book 318)

11. Hoover Blankets • People asked for Presidents Hoover’s help • Argued that helping would harm the American people • Construction of “Hooverville's”

15. A New Deal • Democratic Party nominated Franklin Delano Roosevelt • Believed the gov. could help out the people • Suffered from polio • Promised citizens a “New Deal”

18. The First 100 days • Worked with Congress to create federal programs • Strengthen banks • Feed the hungry • Lower unemployment • Fireside chats

20. New Deal Programs • Civilian Conservation Corp (CCC) • Employed young men on outdoor projects • Building roads • Replanting forests • Draining swamps etc. • NC • Built 88 gymnasiums • Repaired school buildings • Planted oyster beds

24. Help from the State • NC gov. O. Max Gardner and his successor C. B. Ehringhaus focused on the state • 61 of the states 100 counties defaulted on loans • Ehringhaus felt the state could not help unemployed • Thus NC received low federal funds lowest in the nation

25. Direct Relief • People did not want direct relief • What is it? • Wanted to earn money • Relief funds were not distributed evenly

26. Direct Relief

27. Managing the Economy • FDIC was created • Agricultural Adjustment Administration (AAA) • Helped farmers • National Recovery Administration (NRA) • Helped industry

29. The AAA and Farm Productions • NC tobacco farmers struck a deal • Agreed to plant less tobacco if it was bought at a higher price • 1932- 11 cents per pound • 1933- 17 cents per pound • Started to buy goods again

30. Textiles and the NRA (National Recovery Agency) • In NC textile mills agreed to: • Work week of 40 hours/ $12 a week • Did not work well • Produced the same amount • 400,000 workers went on strike • Largest in U.S. history

31. Challenges to Roosevelt • Many New Deal programs ruled unconstitutional • Charles Coughlin (Catholic Radio Host) • 40 million listeners • Anti-Semitism • Huey Long • Share Our Wealth

32. Charles Coughlin

33. Huey Long

34. More New Deal Programs • 1936 FDR re-elected • Passed the Social Security Act (SSA) • Lifeline for most • Helped with hardships of old age and illness

35. NLRB • National Labor Relations Act • Workers could join unions • Negotiate better wages, benefits, & working conditions

36. Dust Bowl • Name given to the Great Plains • No trees • Little rainfall • Light soil • High winds

40. We Go to War

41. Rumblings of War • Germany, Italy, & Japan started conquering other countries around them (Axis Powers) • Dictators- men who had absolute power over their gov. • Many Americans supported isolationism

42. Blitzkrieg • Swift military campaign to take control of other countries Denmark, Norway, Holland, Belgium, & Luxembourg • U.S. geared up for war • Peacetime draft • Camp Lejeune is built • Provided arms to Britain

43. The U.S. goes to war • December 7, 1941 • Pearl Harbor is attacked by Japan • 2400 Americans died • U.S. declares war on Japan • Germany & Italy declare war on the U.S.

44. War in Europe • Germany moved East into Russia • Oil & Coal • Soviet Army took the brunt of the fighting

45. Battles of the U.S. coast • German U-Boats attacked ships off the coast including NC • Bodies & debris would wash up on shore

46. Life on the home front • Rationing in the U.S. • Ration stamps • Victory Gardens • War Bonds

47. War ends the depression • War sparked economic growth • Ended the Great Depression • NC benefitted greatly from the war effort • Ships yards • Chemical plants

48. Rosie the Riveter • Women took the jobs of the men • Joined the military • Radio operators • Nurses • Pilots • Mary Nicholson flew planes to Britain

50. African Americans & the War • African Americans joined the effort • Tuskegee Airmen, most famous • Escorted bombers to their targets, shooting down enemy planes • First time AA were allowed in the Marines • Still Racism