Chapter 15 THE GREAT DEPRESSION

1. Chapter 15 THE GREAT DEPRESSION Section 1: Prosperity Shattered Section 2:Hard Times Section 3:Hoover’s Policies Chapter 16

2. Section 1: Prosperity Shattered Objectives: • Why did financial experts issue warnings about business practices during the 1920s? • Why did the stock market crash in 1929? • How did the banking crisis and subsequent business failures signal the beginning of the Great Depression? • What were the main causes of the Great Depression?

3. Section 1: Prosperity Shattered Warnings about business practices • farm crisis • “sick” industries • consumers’ reliance on credit • stock speculation

4. Section 1: Prosperity Shattered Reasons for the stock market crash of 1929 • Economic factors such as rising interest rates began to worry investors. • Investors sold stocks. • Stock prices dropped sharply, fueling panic. • Heavy selling continued.

5. Section 1: Prosperity Shattered Events signaling the Great Depression • Banks failed due to heavy defaults, margin calls, and heavy withdrawals. • Bank failures deprived businesses of necessary resources and customers. • Businesses closed and workers lost their jobs.

6. Section 1: Prosperity Shattered Causes of the Great Depression • The global economic crisis decreased exports. • Unequal distribution of income reduced the total purchasing power available in the economy. • Consumer debt undermined individuals and increased economic chaos.

7. SECTION 1 Prosperity Shattered Question: Why did the stock market crash in 1929?

8. SECTION 1 Factors That Caused the Stock Market Crash Prosperity Shattered 1. economic factors such as rising interest rates worry investors 2. investors sell stocks 3. stock prices plunge 4. heavy sales continue The Crash

9. What do you think Today? • What does this graph say about the differences in the Great Depression and the stock market down turn in 2008? • Is there Bias? • What factors would make this different? • Do you think this graph is Skewed? • Lets look at the source!

10. Section 2: Hard Times Objectives: • How did unemployment during the Great Depression affect the lives of American workers? • What hardships did urban and rural residents face during the depression? • How did the Great Depression affect family life and the attitudes of Americans? • How did popular culture offer an escape from the Great Depression?

11. Section 2: Hard Times Unemployment during the Great Depression • rose sharply • created severe financial problems • created severe emotional problems

12. Unemployment Graph

13. Unemployment Graph • Approx. what was the unemployment rate in 1929? • In what year did unemployment peek? • Why did unemployment jump in 1937?

14. Section 2: Hard Times Hardships during the depression • poverty • diminished expectations • low prices or lack of market for farm products • farm foreclosures • hunger • homelessness • deportation for aliens

15. Personal Income WWII

16. Graph Questions • How long did it take for incomes to reach their previous high in 1929? • What event helped Increase employment? • What caused the Dip in income in 1937?

17. Section 2: Hard Times Great Depression’s effects on family life and attitudes of Americans • fractured some families, forced others to band together for survival • divorce rates up • birth rates down • many psychological problems

18. Section 2: Hard Times Popular culture during the depression • movies • radio • comic books and popular novels

19. SECTION 2 Hard Times Question: How did the depression affect both urban and rural residents?

20. SECTION 2 Hard Times The Great Depression in the City and the Country RURAL URBAN • faced lower prices for food products • forced to let crops rot and kill animals • faced farm foreclosures • Mexican aliens and immigrants faced deportation • received some aid from charities • formed mutual-aid organizations • experienced hunger • experienced homelessness • experienced poverty • experienced diminished expectations

21. Section 3: Hoover’s Policies Objectives: • Why did President Hoover oppose government-sponsored direct relief for individuals during the Great Depression? • How did the Hoover administration attempt to solve the depression’s economic problems, and how successful were these efforts? • How did radicals and veterans respond to Hoover’s policies? • Why was Franklin D. Roosevelt such a popular candidate in the 1932 election?

22. Section 3: Hoover’s Policies Hoover’s opposition to government relief during the Great Depression President Hoover believed that individuals and businesses should be self-reliant and that government help would create a bureaucracy.

23. Section 3: Hoover’s Policies Hoover’s attempts to solve economic problems • Public-works programs such as building Boulder Dam failed to relieve entrenched depression. • The Federal Farm Board, which made loans, established cooperatives, and bought surplus goods, avoided some foreclosures, but failed to end the farm crisis. • The Reconstruction Finance Corporation, which loaned taxpayer money to stabilize industries, helped some companies avoid bankruptcy, but used money for businesses, not people.

24. Section 3: Hoover’s Policies Radical response to Hoover’s policies • staged protests • became involved legally Veterans’ response • gathered in Washington D.C. to demand payment of their pension bonuses

25. Section 3: Hoover’s Policies Reasons for Roosevelt’s popularity • Roosevelt’s optimism and enthusiasm contrasted with Hoover’s gloom. • As governor of New York, Roosevelt had designed new relief programs.

26. Chapter 16 THE NEW DEAL Section 1: Restoring Hope Section 2:New Challenges Section 3:Life in the New Deal Era Section 4:The New Deal and the Arts

27. Section 1: Restoring Hope Objectives: • How did the New Deal provide relief for the unemployed? • How did the New Deal promote industrial and agricultural recovery? • What were the New Deal goals for the Tennessee Valley region? • How did the Roosevelt administration address the concerns of African Americans and American Indians?

28. Section 1: Restoring Hope New Deal relief for the unemployed • The FERA provided direct federal aid. • The CWA created jobs such as raking leaves and picking up litter. • The CCC put young men to work in parks and forests.

29. Section 1: Restoring Hope New Deal contributions to industrial and agricultural recovery • NIRA passed to stimulate business activity and reduce unemployment • PWA initiated public works projects. • NRA encouraged businesses to draw up codes to regulate hours, prices, production levels, and wages. • Agricultural Adjustment Act created the Agricultural Adjustment Administration, which paid farmers subsidies to grow less.

30. Section 1: Restoring Hope New Deal goals for the Tennessee Valley region • provide flood control and combat soil erosion • provide electricity and improve the standard of living • combat malaria • combat illiteracy • provide recreational facilities

31. SECTION 1 Restoring Hope Question: What were the new Deal’s goals for the Tennessee River Valley?

32. SECTION 1 provide flood control provide electricity provide recreational facilities combat malaria improve standard of living combat illiteracy combat soil erosion Restoring Hope TVA Goals for the Tennessee River Valley

33. Section 1: Restoring Hope The New Deal and African Americans • African Americans were appointed to government posts. • Federal Council on Negro Affairs was established. • Mrs. Eleanor Roosevelt resigned her membership in the DAR and arranged for Marian Anderson to sing at the Lincoln Memorial to protest DAR actions.

34. Section 1: Restoring Hope The New Deal and American Indians • John Collier was appointed as commissioner of Indian Affairs. • The Indian Reorganization Act of 1934 was passed.

35. Section 2: New Challenges Objectives: • What were the criticisms aimed at the New Deal? • How did the Second New Deal enable President Roosevelt to win re-election easily in 1936? • How did Roosevelt try to prevent the Supreme Court from overturning his programs? • How did the Second New Deal benefit labor and agriculture? • What was Roosevelt’s recession, and what effect did it have?

36. Section 2: New Challenges Criticism of the New Deal • claims that the New Deal was destroying the Constitution and free enterprise • accusations of “irresponsible ravings against millionaires and businessmen” • desire for pensions for Americans over 60 • desire for government to nationalize banks and return to the silver standard • desire for the Share-Our-Wealth program

37. Section 2: New Challenges The Second New Deal and Roosevelt’s re-election in 1936 • included a broad range of programs, such as the WPA, the NYA, the Social Security Act, the REA, and the Revenue Act of 1935 • won FDR support from many different Americans, including African Americans, farmers, labor union members, unemployed workers, and many Republicans

38. Section 2: New Challenges Roosevelt and the Supreme Court Roosevelt attempted to prevent the Supreme Court from overturning his programs by asking Congress for the power to appoint one new justice for each justice over 70 years old. This was called “packing” the Court.

39. Section 2: New Challenges Second New Deal benefits to labor and agriculture • The Wagner-Connery Act guaranteed labor’s right to organize and bargain collectively. • The FSA provided low-interest, long-term loans to help tenant farmers and sharecroppers buy land. • The FSA also established camps providing shelter and medical care for migrant farmworkers. • The AAA of 1938 authorized subsidies to farmers who practiced soil conservation and crop reduction.

40. Section 2: New Challenges Roosevelt’s recession • In response to criticism about excessive spending, FDR reduced relief programs and public-works projects. • Recession occurred; factories closed and unemployment rose. • In response, FDR and Congress increased government spending. • As a result, unemployment declined and production increased.

41. Section 3: Life in the New Deal Era Objectives: • What were the effects of the Dust Bowl? • How did the New Deal agencies use photography to promote their goals? • How effective was the New Deal in ending the Great Depression?

42. Section 3: Life in the New Deal Era Effects of the Dust Bowl • Many farmers lost their land. • Dust Bowl farmers migrated west in search of work harvesting crops. • Migrants to the West Coast faced stiff competition for jobs.

43. Section 3: Life in the New Deal Era Use of photography to promote New Deal goals • New Deal workers hoped that photographs of suffering Americans would arouse support for the New Deal attempts at relief. • Photographs were used in government pamphlets. • Photographs illustrating the work of the government were published in magazines.

44. Section 3: Life in the New Deal Era The New Deal’s effectiveness • not completely effective in ending the Great Depression • provided jobs and improved people’s sense of self-worth • helped modernize the South • broke down class barriers • brought electricity to rural areas • boosted family incomes so children could stay in school

45. SECTION 3 Life in the New Deal Era Question: How did the New Deal improve the lives of ordinary Americans?

46. SECTION 3 Life in the New Deal Era boosted family incomes so that children could stay in school helped modernize the South New Deal Programs broke down class barriers provided jobs, improved people’s sense of self worth brought electricity to rural areas

47. Section 4: The New Deal and the Arts Objectives: • How did Federal Project Number One aid writers and artists? • What common themes emerged in the novels, films, and plays of the New Deal Era? • How did music evolve in the 1930s? • What subject matter influenced American painters in the 1930s?

48. Section 4: The New Deal and the Arts Federal Project Number One • The Federal Writers’ Project hired writers to produce a number of works. • The Federal Theater Project hired theater artists to produce plays. • The Federal Music Project hired musicians to present musical productions. • The Federal Arts Project hired artists and designers to paint murals, produce posters, and teach art.

49. Section 4: The New Deal and the Arts Common themes in novels during the New Deal Era • poverty and economic chaos • depression-era experiences of ethnic minorities

50. Section 4: The New Deal and the Arts Common themes in films during the New Deal Era • “escapist” themes • exploration of social issues