U.S. History Chapter U.S. History Chapter 11 Notes 11 Notes The Great The Great
Depression BeginsDepression BeginsAn economic crisis grips the nation An economic crisis grips the nation
during the Great Depression. President during the Great Depression. President Herbert Hoover’s conservative Herbert Hoover’s conservative
response to the nation’s problems costs response to the nation’s problems costs him many supporters.him many supporters.
Section 1Section 1The Nation’s The Nation’s Sick EconomySick EconomyAs the prosperity of the As the prosperity of the
1920s ends, severe economic 1920s ends, severe economic problems grip the nation.problems grip the nation.
Economic Troubles on the Economic Troubles on the HorizonHorizon
Problems began threatening economic prosperity Problems began threatening economic prosperity by the end of the 1920s by the end of the 1920s
Farm debtFarm debt - many farmers were forced to sell in - many farmers were forced to sell in the 1920'sthe 1920's
Consumer debtConsumer debt - many people were buying goods - many people were buying goods on crediton credit
More goods then buyers - prices rose faster than More goods then buyers - prices rose faster than wageswages
Declining TradeDeclining Trade - 1920's U.S. raised tariffs other - 1920's U.S. raised tariffs other countries raised tariffs to retaliatecountries raised tariffs to retaliate
Important industries struggledImportant industries struggled Income disparity Income disparity - - Consumers & farmers went Consumers & farmers went
steadily deeper into debt steadily deeper into debt
Industries in TroubleIndustries in Trouble Key industries like railroads, textiles, steel barely Key industries like railroads, textiles, steel barely
made profitmade profit Replaced by other forms of transportations Replaced by other forms of transportations Mining, lumbering expanded during were no Mining, lumbering expanded during were no
longer in high demandlonger in high demand Coal especially hard-hit due to availability of new Coal especially hard-hit due to availability of new
energy sourcesenergy sources- Hydroelectricity, fuel oil, & natural gas - Hydroelectricity, fuel oil, & natural gas
Boom industriesBoom industries - automobiles, construction, - automobiles, construction, consumer goods weakened consumer goods weakened
Housing startsHousing starts declined declined - Affected many related industries - Affected many related industries
Farm TroublesFarm Troubles International demand for U.S. grain declined after International demand for U.S. grain declined after
warwar- prices dropped by 40% or more- prices dropped by 40% or more
Farmers boosted production to sell more Farmers boosted production to sell more - Caused prices to drop further- Caused prices to drop further
Farm income declined & farmers defaulted on loans Farm income declined & farmers defaulted on loans Rural banks failedRural banks failed Congress attempted to pass the Congress attempted to pass the McNary- HaugenMcNary- Haugen
bill to help farmersbill to help farmers- Price-supports- Price-supports - government bought surplus - government bought surplus crops at guarantees pricescrops at guarantees prices- President Coolidge vetoed price-support bill - President Coolidge vetoed price-support bill
Consumers ProblemsConsumers Problems 1920s - rich got richer & poor got poorer1920s - rich got richer & poor got poorer Prices rose faster that wages Prices rose faster that wages 70% of families earned less than minimum for 70% of families earned less than minimum for
decent standard of living decent standard of living - $2500 annually- $2500 annually
Most couldn’t afford flood of products factories Most couldn’t afford flood of products factories produceproduce
Many people had been purchasing goods on Many people had been purchasing goods on creditcredit (buy now, pay later)(buy now, pay later)
Businesses gave easy credit & consumers piled up Businesses gave easy credit & consumers piled up large debtslarge debts
Consumers had trouble paying off debt & cut back Consumers had trouble paying off debt & cut back on spendingon spending
OBJ #1 - Describe the OBJ #1 - Describe the CAUSESCAUSES and and SPARKSPARK of the Great Depression. of the Great Depression. How did How did OverproductionOverproduction affect both farmers and industry? What system collapsed affect both farmers and industry? What system collapsed and caused millions to lose their savings? Explain how buying on Margin and caused millions to lose their savings? Explain how buying on Margin created the Spark. How did people lose money because of the spark?created the Spark. How did people lose money because of the spark?
I. OBJ #1- I. OBJ #1- Cause & SparkCause & Spark of the Depression of the Depression A. Causes of the DepressionA. Causes of the Depression
1. Overproduction1. Overproduction, too much stuff (Factories and Farms), too much stuff (Factories and Farms)a. Factory Workers begin to get layed-offa. Factory Workers begin to get layed-off - Workers cannot buy goods, even more goods are - Workers cannot buy goods, even more goods are
overproducedoverproducedb. Farmersb. Farmers Can’t SurviveCan’t Survive -low prices (can’t pay loans / make a living)-low prices (can’t pay loans / make a living)c. Supply & Demand- Prices Dropc. Supply & Demand- Prices Drop
2. 2. Bank FailuresBank Failures a. Banks close and loose $$$a. Banks close and loose $$$
b. People b. People defaultdefault on loans (Can’t pay Back) on loans (Can’t pay Back) c. Banks cannot cover their deposits, because it was c. Banks cannot cover their deposits, because it was
lent out to lent out to bad creditors ** bad creditors **5,000 banks 5,000 banks close between 1929-1932close between 1929-1932****
d. d. People loose entire LIFE SAVINGSPeople loose entire LIFE SAVINGS
1920’s 1920’s ProblemProblem
ss
Factories making Too Much, Farms growing too much
Factories Fire Workers (Don’t need them)
Farm Prices fall (Farmers can’t make $$)
Farmers & Factory Workers can’t pay back loans to
Banks: DEFAULT!!
Banks Close because they have no money: Loans have not been paid back, can’t give people their savings
BANKS Have NO $$
PEOPLE LOST SAVINGS & JOBS
NO ONE TO HELP!
=+People Default on Loans
Banks have no money to give people
Banks Close
People Loose savings
The Election of 1928The Election of 1928 Democrat Democrat Alfred E. Alfred E.
SmithSmith - four times - four times governor of New Yorkgovernor of New York
Republican Republican Herbert Herbert HooverHoover has served as has served as secretary of commerce secretary of commerce under Warren Harding under Warren Harding & Calvin Coolidge & Calvin Coolidge
U.S. had experienced U.S. had experienced prosperity under prosperity under Republicans in 1920s Republicans in 1920s
Hoover won an Hoover won an overwhelming victoryoverwhelming victory
Dreams of Riches in the Stock Dreams of Riches in the Stock MarketMarket
Late 1920s – Some economist warning of Late 1920s – Some economist warning of weaknesses in the economy weaknesses in the economy - Most Americans ignored them - Most Americans ignored them
People began investing in stock marketPeople began investing in stock market- Looked like an easy way to make money- Looked like an easy way to make money
Dow Jones Industrial Average Dow Jones Industrial Average was used was used as barometer of the market’s healthas barometer of the market’s health - Measure based on the stock of 30 - Measure based on the stock of 30 representative large firms trading on the representative large firms trading on the New York Stock exchange tracks state of New York Stock exchange tracks state of stock marketstock market
Dreams of Riches in the Stock Dreams of Riches in the Stock MarketMarket
1920s - stock prices 1920s - stock prices rose steadily “Bull rose steadily “Bull Market”Market”
People rushed to buy People rushed to buy stocks & bonds to make stocks & bonds to make a quick profita quick profit
- Many engaged in - Many engaged in speculationspeculation - buy on - buy on chance of a quick profitchance of a quick profit
- Began- Began Buying on Buying on marginmargin - pay small - pay small percent of price, borrow percent of price, borrow rest rest
The Stock Market CrashesThe Stock Market Crashes
September 1929 September 1929 stock prices peaked stock prices peaked & then fell& then fell
Many investors lost Many investors lost confidence & began confidence & began selling selling
October 24, 1929 - October 24, 1929 - Market took plunge Market took plunge & many panicked & many panicked investors unloaded investors unloaded their shares their shares
The Stock Market CrashesThe Stock Market Crashes October 29, 1929October 29, 1929 - -
Stock market crashed Stock market crashed ((Black TuesdayBlack Tuesday))
- Shareholders sold - Shareholders sold franticallyfrantically
- Millions of shares - Millions of shares had no buyershad no buyers
- People who bought - People who bought on credit were left on credit were left with huge debtswith huge debts
- Others lose most of - Others lose most of their savingstheir savings
OBJ #1- Cause & Sparks of DepressionOBJ #1- Cause & Sparks of Depression
QUICK REVIEW:QUICK REVIEW:
Causes: 1. OverproductionCauses: 1. Overproduction 2. Bank Closings2. Bank Closings
Spark: 1. Stock Market CrashSpark: 1. Stock Market Crash
Results: 1. UnemploymentResults: 1. Unemployment 2. Life Savings Lost2. Life Savings Lost
Financial CollapseFinancial Collapse Great DepressionGreat Depression - economy plummeted & - economy plummeted &
unemployment skyrocketedunemployment skyrocketed- lasted from 1929–1940- lasted from 1929–1940
After crash, people panicked & withdraw money After crash, people panicked & withdraw money from banksfrom banks
Banks that invested in stocks failed& people lost Banks that invested in stocks failed& people lost their moneytheir money
1929 to1932 - 1929 to1932 - gross national productgross national product was cut was cut nearly in halfnearly in half- 90,000 businesses went bankrupt- 90,000 businesses went bankrupt
1933 - 1933 - 25%25% of workers were unemployed of workers were unemployed Those with jobs received cuts in hours & payThose with jobs received cuts in hours & pay
Worldwide Shock WavesWorldwide Shock Waves
Great Depression limited U.S. ability to Great Depression limited U.S. ability to import European goodsimport European goods
Hawley-Smoot Tariff ActHawley-Smoot Tariff Act set highest set highest protective tariff ever in U.S.protective tariff ever in U.S.
Other countries couldn’t earn American Other countries couldn’t earn American currency to buy U.S. goodscurrency to buy U.S. goods
- Many countries retaliated by raising - Many countries retaliated by raising their own tariffs their own tariffs
International trade dropped & International trade dropped & unemployment soared around worldunemployment soared around world
Causes of the Great Causes of the Great DepressionDepression
Factors leading to Great Depression:Factors leading to Great Depression: Declining TradeDeclining Trade - Tariffs & war debts cut - Tariffs & war debts cut
down the foreign markets for American goods down the foreign markets for American goods Farm problemsFarm problems - Many farmers were forced - Many farmers were forced
to sell to sell Easy creditEasy credit – Borrowed money to invest in – Borrowed money to invest in
marketmarket Income disparity Income disparity Federal government kept interest rates low & Federal government kept interest rates low &
encouraged borrowingencouraged borrowing
Section 2Section 2Hardship and Hardship and
Suffering Suffering During the During the DepressionDepressionDuring the Great Depression During the Great Depression
Americans do what they have Americans do what they have to do to survive.to do to survive.
The Depression Devastates The Depression Devastates People’s LivesPeople’s Lives
People lost jobs & People lost jobs & were evicted from were evicted from homeshomes
Had to live in parks Had to live in parks or sewer pipes or sewer pipes
ShantytownsShantytowns - - settlements settlements consisting of consisting of shacks, arose in shacks, arose in citiescities
The Depression Devastates The Depression Devastates People’s LivesPeople’s Lives
People dug through People dug through garbage & begged garbage & begged - Soup kitchens- Soup kitchens offered offered free or low-cost foodfree or low-cost food- Bread lines- Bread lines - people - people lined up for food from lined up for food from charities & public charities & public agenciesagencies
African Americans & African Americans & Latinos had higher Latinos had higher unemployment & lower unemployment & lower paypay
Minorities were also Minorities were also targets of violence targets of violence (Lynching or (Lynching or deportation)deportation)
The Depression in Rural The Depression in Rural AreasAreas
Most farmers could Most farmers could grow food for their grow food for their familiesfamilies
About 400,000 farms About 400,000 farms were lost through were lost through foreclosureforeclosure
- Many became tenant - Many became tenant farmers: worked for farmers: worked for large large
landowners rather landowners rather than than
themselvesthemselves
The Dust BowlThe Dust Bowl
Farmers in Great Farmers in Great Plains exhausted Plains exhausted land through land through overproductionoverproduction
1930s - drought & 1930s - drought & windstorms scattered windstorms scattered for hundreds of milesfor hundreds of miles
Dust BowlDust Bowl - area - area from North Dakota to from North Dakota to Texas that was Texas that was hardest hit hardest hit
The Dust BowlThe Dust Bowl
Many farm families Many farm families migrated to Pacific migrated to Pacific Coast states Coast states ((Route 66Route 66))
- California towns - California towns became became overcrowdedovercrowded
- Many people who - Many people who moved west were moved west were from Oklahoma from Oklahoma (Okies)(Okies)
OBJ #3OBJ #3 - Describe the natural disaster that affected the U.S. - Describe the natural disaster that affected the U.S. during the Great Depression. during the Great Depression. What was the disaster’s nick-What was the disaster’s nick-name? What caused the disaster? Where did the people go name? What caused the disaster? Where did the people go to try and escape their troubles and how were they treated to try and escape their troubles and how were they treated (nick-names for these people)?(nick-names for these people)?III. OBJ. #3- Natural Disaster “The DUST BOWL” III. OBJ. #3- Natural Disaster “The DUST BOWL”
A. Great Plains suffers a huge Drought (1931)A. Great Plains suffers a huge Drought (1931)1. Causes:1. Causes: a. Drought . . .no raina. Drought . . .no rain
b. b. New technologyNew technology, tractors and steel plows tear-, tractors and steel plows tear-up extraup extra sod that sod that was holding onto soil, drought was holding onto soil, drought turns open soil into sand boxturns open soil into sand box
2. Huge Dust storms cover ‘Great Plains2. Huge Dust storms cover ‘Great PlainsB. ResultsB. Results
1. Can’t pay banks- Banks take Farms1. Can’t pay banks- Banks take Farms2. Many Great Plains farmers move to California2. Many Great Plains farmers move to California, , a. Try to get jobs on large farmsa. Try to get jobs on large farms b. Treated poorly in Calif. - b. Treated poorly in Calif. -
*‘*‘OakiesOakies’ & ‘’ & ‘ArkiesArkies’-Not wanted in West’-Not wanted in West
Effects on the American Effects on the American FamilyFamily
Family was source of Family was source of strength for most strength for most AmericansAmericans
Believed in traditional Believed in traditional values and emphasized values and emphasized the importance of family the importance of family unityunity
Many families Many families entertained themselves entertained themselves with board games & with board games & radio radio - - MonopolyMonopoly was was invented in 1933 invented in 1933
Some families broke Some families broke apart under strain of apart under strain of making ends meetmaking ends meet
Men in the StreetsMen in the Streets Many men used to Many men used to
working & supporting working & supporting families had difficulty families had difficulty copingcoping Couldn’t find jobsCouldn’t find jobs Many stopped trying Many stopped trying
Some men even Some men even abandoned their abandoned their families families - About 300,000- About 300,000 hoboes hoboes wandered country on wandered country on railroad box carsrailroad box cars
No federal system of No federal system of direct reliefdirect relief - cash or - cash or food from governmentfood from government
Women Struggle to SurviveWomen Struggle to Survive
Women worked hard Women worked hard to help their families to help their families survive the adversitysurvive the adversity
Homemakers Homemakers budgeted carefully, budgeted carefully, canned food, & canned food, & sewed clothessewed clothes
Women worked Women worked outside home & were outside home & were resented by resented by unemployed menunemployed men
Women Struggle to SurviveWomen Struggle to Survive
Early 1930s – Early 1930s – Some cities Some cities refused to hire refused to hire married married schoolteachers schoolteachers
Many women Many women suffered in silence suffered in silence & were ashamed to & were ashamed to stand in bread stand in bread lineslines
Children Suffer HardshipsChildren Suffer Hardships Poor diets & health Poor diets & health
care led to serious care led to serious health problems in health problems in childrenchildren
Lack of tax revenue Lack of tax revenue led to shortened school led to shortened school year & school closingsyear & school closings
Teenagers left home & Teenagers left home & rode trains in search of rode trains in search of work & adventurework & adventure
- Many died or were - Many died or were beaten beaten
Social and Psychological Social and Psychological EffectsEffects
1928 to 1932 – 1928 to 1932 – suicide ratesuicide rate rose over 30% rose over 30% Admissions to state mental hospitals tripledAdmissions to state mental hospitals tripled People gave up health care, collegePeople gave up health care, college Put off marriage & childrenPut off marriage & children Stigma of poverty didn’t disappear & Stigma of poverty didn’t disappear &
financial security became goalfinancial security became goal Many people showed great kindness to Many people showed great kindness to
strangers strangers - Gave food, clothing & a place to stay - Gave food, clothing & a place to stay
People developed habit of saving and People developed habit of saving and thriftinessthriftiness
Section 3Section 3Hoover Struggles Hoover Struggles
with with the Depressionthe Depression
President Hoover’s conservative President Hoover’s conservative response to response to
the Great Depression draws the Great Depression draws criticism from many Americans.criticism from many Americans.
Hoover Tries to Reassure the Hoover Tries to Reassure the NationNation
President President Herbert Herbert HooverHoover told Americans told Americans the economy was soundthe economy was sound
Many experts believed Many experts believed depressions were depressions were normal part of business normal part of business cyclecycle- Believed that it was - Believed that it was best to do nothing & let best to do nothing & let the economy fix itself the economy fix itself
Hoover believed Hoover believed government should government should foster cooperation foster cooperation between competing between competing groupsgroups
Hoover Tries to Reassure Hoover Tries to Reassure the Nationthe Nation
Many believed that people should succeed Many believed that people should succeed through their own efforts through their own efforts
People should take care of own families & People should take care of own families & not depend on governmentnot depend on government
Hoover opposed any form of federal Hoover opposed any form of federal welfare or direct relief to the needywelfare or direct relief to the needy- Believed that hand-outs would weaken - Believed that hand-outs would weaken people’s self respect & moral fiberpeople’s self respect & moral fiber- Said that charities & local organizations - Said that charities & local organizations should help the less fortunate should help the less fortunate
Hoover Takes Cautious Hoover Takes Cautious StepsSteps
Hoover called meeting of business, Hoover called meeting of business, banking, labor leaders to solve banking, labor leaders to solve problemsproblems
- Asked them to work to together to - Asked them to work to together to solve the problems solve the problems
Created organization to help private Created organization to help private charities raise money for poorcharities raise money for poor
Hoover Takes Cautious Hoover Takes Cautious StepsSteps
Hoover’s authorized Hoover’s authorized the construction of the construction of the the Boulder DamBoulder Dam on Colorado River won Colorado River w
- later renamed - later renamed Hoover DamHoover Dam
- Provided - Provided electricity, flood electricity, flood control, water to control, water to states on river basinstates on river basin
Democrats Win in 1930 Democrats Win in 1930 Congressional ElectionsCongressional Elections
People began blaming Hoover & People began blaming Hoover & Republicans for the economic Republicans for the economic problems problems
Democrats won House of Democrats won House of Representatives Representatives
Republican Senate majority down to Republican Senate majority down to 1 vote1 vote
People Grew frustrated with the People Grew frustrated with the Depression Depression
Democrats Win in 1930 Democrats Win in 1930 Congressional ElectionsCongressional Elections
Farmers tried to Farmers tried to create food shortages create food shortages to raise pricesto raise prices Burned fields rather Burned fields rather
than sell crops at a than sell crops at a loss loss
Some declared a farm Some declared a farm holidayholiday
People began calling People began calling shantytowns shantytowns “Hoovervilles”“Hoovervilles”
Hoover Takes ActionHoover Takes Action Hoover softened his Hoover softened his
stance on no stance on no government intervention government intervention in the economy in the economy
Hoover negotiates Hoover negotiates agreements among agreements among private entitiesprivate entities
Backs Backs Federal Farm Federal Farm BoardBoard (organization of (organization of farm cooperatives)farm cooperatives)
- buy crops, keep off - buy crops, keep off market until prices risemarket until prices rise
Hoover Takes ActionHoover Takes Action
Got large banks to establish Got large banks to establish National National Credit CorporationCredit Corporation
- Loaned money to smaller banks to - Loaned money to smaller banks to prevent bankruptcyprevent bankruptcy
Late 1931 - Hoover persuaded Congress Late 1931 - Hoover persuaded Congress to pass measures reform banking, provide to pass measures reform banking, provide mortgage relief, & funnel federal money mortgage relief, & funnel federal money into business investmentinto business investment
- Federal Home Loan Bank Act- Federal Home Loan Bank Act lowered lowered mortgage ratesmortgage rates
Hoover Takes ActionHoover Takes Action
Reconstruction Finance Reconstruction Finance CorporationCorporation – Authorized emergency – Authorized emergency funds for businesses funds for businesses - Hoover believed that the money - Hoover believed that the money would trickle down to average citizens would trickle down to average citizens through job growth & higher wages through job growth & higher wages - Critics said people couldn’t wait for - Critics said people couldn’t wait for the money to trickle down the money to trickle down
Hoover’s measures didn’t improve Hoover’s measures didn’t improve economy before presidential electioneconomy before presidential election
Gassing the Bonus ArmyGassing the Bonus Army 1932 – Incident with 1932 – Incident with
World War I veterans World War I veterans further damaged further damaged Hoover’s image & Hoover’s image & public moralepublic morale
1924 – Congress 1924 – Congress agreed to pay a bonus agreed to pay a bonus to WWI vets who had to WWI vets who had not been adequately not been adequately compensated for compensated for wartime servicewartime service- Bonus was to be paid - Bonus was to be paid in 1945 in the form of in 1945 in the form of cash & a life cash & a life insurance policyinsurance policy
Gassing the Bonus ArmyGassing the Bonus Army Bonus ArmyBonus Army – –
WWI veterans WWI veterans went to D.C. in went to D.C. in 1932 to support 1932 to support Patman Bill:Patman Bill:- called for - called for immediate immediate payment of payment of bonus to WWI bonus to WWI vets vets ($500 ($500 per soldier) per soldier)
Gassing the Bonus ArmyGassing the Bonus Army Hoover opposed billHoover opposed bill Believed they were Believed they were
communistscommunists He respected their right He respected their right
to protest (Provided to protest (Provided food & supplies for food & supplies for shantytown) shantytown)
June 17, 1932 - Senate June 17, 1932 - Senate voted down voted down Patman Patman BillBill
Most veterans left Most veterans left WashingtonWashington
About 2,000 stayed to About 2,000 stayed to speak to Hooverspeak to Hoover
Gassing the Bonus ArmyGassing the Bonus Army
Hoover feared Hoover feared violence & called violence & called on U.S. Army to on U.S. Army to disband Bonus disband Bonus ArmyArmy
- Led by - Led by General General Douglass Douglass MacarthurMacarthur & & Major Dwight Major Dwight EisenhowerEisenhower
Gassing the Bonus ArmyGassing the Bonus Army
Infantry tear gassed Infantry tear gassed over 1,000 people, over 1,000 people, including childrenincluding children
Many people were Many people were injured (11 month injured (11 month old baby died)old baby died)
Public was stunned Public was stunned & outraged by & outraged by government’s government’s actionsactions
OBJ #2 -OBJ #2 -Describe how the Great Depression affected people. Describe how the Great Depression affected people. Who was Who was the president when it started, and what did he do to help? Who the president when it started, and what did he do to help? Who tried to help the poor and what problems did they have? How did tried to help the poor and what problems did they have? How did people try to escape the Great Depression?people try to escape the Great Depression?II. OBJ. #2 – Affects of the Depression II. OBJ. #2 – Affects of the Depression
A. Jobless / HomelessA. Jobless / Homeless1. 1930-1932 – Jobless goes from 4 to 12 million1. 1930-1932 – Jobless goes from 4 to 12 million2. Houses are lost, people become homeless2. Houses are lost, people become homeless3. People are 3. People are Desperate!!!!Desperate!!!!
B. B. Hatred for President HooverHatred for President Hoover1. Say’s it is NOT Government’s job to fix the Poor1. Say’s it is NOT Government’s job to fix the Poor
a. Say Churches and other groups should helpa. Say Churches and other groups should helpb. PROBLEM: People too poor to help churches b. PROBLEM: People too poor to help churches
so churches so churches can’t help as much!!! can’t help as much!!!2. People name Poor Places after Hoover 2. People name Poor Places after Hoover
a.a.*Hooverville- Shanty towns / Hoovermobile- cars *Hooverville- Shanty towns / Hoovermobile- cars pulled by mulespulled by mules
b. HOBOSb. HOBOS- look for jobs*Hooverblankets- - look for jobs*Hooverblankets- newspapers used as newspapers used as traveling the rails traveling the rails blankets by blankets by homelesshomeless
OBJ #2- Affects of the Great DepressionOBJ #2- Affects of the Great Depression
C.C. Escaping the DepressionEscaping the Depression
1. Radio- 1. Radio- Comedies, Soap OperasComedies, Soap Operas
2. Movies-2. Movies- Shirley Temple, Child Actors Shirley Temple, Child Actors
a. Snow White (first full-length animation) a. Snow White (first full-length animation)
b. Wizard of OZb. Wizard of OZ
*Small girl escaping the Dust Bowl*Small girl escaping the Dust Bowl
3. 3. LiteratureLiterature
a. Steinbeck, a. Steinbeck, Grapes of WrathGrapes of Wrath
*About a family of ‘Okies’ escaping the Dust Bowl *About a family of ‘Okies’ escaping the Dust Bowl and how and how horribly they were treated horribly they were treated
Wizard
of
OZ
U.S. History Chapter U.S. History Chapter 13 Notes13 Notes
The New DealThe New DealPresident Franklin D. Roosevelt’s New President Franklin D. Roosevelt’s New Deal programs stimulate the economy Deal programs stimulate the economy and the arts. The New Deal leaves a and the arts. The New Deal leaves a lasting, yet controversial mark on lasting, yet controversial mark on
American government.American government.
Section 1Section 1A New Deal Fights A New Deal Fights
the Depressionthe DepressionAfter becoming president, After becoming president,
Franklin Delano Roosevelt uses Franklin Delano Roosevelt uses government programs to combat government programs to combat
the Depression.the Depression.
Election of 1932Election of 1932 Democrats Democrats
nominated NY nominated NY governorgovernor Franklin Franklin Delano Roosevelt Delano Roosevelt - reform-minded;- reform-minded;
projected projected friendliness & friendliness & confidenceconfidence
Democrats Democrats overwhelmingly overwhelmingly won presidency, won presidency, Senate, & HouseSenate, & House
Election of 1932Election of 1932 Roosevelt had to wait 4 Roosevelt had to wait 4
months to take over months to take over 20th Amendment wasn’t 20th Amendment wasn’t
rarified until 1933 (Move rarified until 1933 (Move inauguration to January) inauguration to January)
FDR worked with advisors FDR worked with advisors known as known as “Brain Trust,”“Brain Trust,” to to formulate policies to formulate policies to alleviate problemsalleviate problems
New DealNew Deal – FDR’s program – FDR’s program to alleviate the problems of to alleviate the problems of the Great Depression the Great Depression focused on 3 Rsfocused on 3 Rs ReliefRelief for needy for needy Economic Economic recovery recovery Financial Financial reformreform
The Hundred DaysThe Hundred Days
March 9 to June 16, March 9 to June 16, 1933 - FDR took 1933 - FDR took office & launched office & launched Hundred DaysHundred Days
Congress passed Congress passed over 15 major New over 15 major New Deal laws that Deal laws that expanded the federal expanded the federal government’s role in government’s role in the nation’s the nation’s economy economy
Bank HolidayBank Holiday March 5, 1933 – one day after taking office March 5, 1933 – one day after taking office
FDR declared a bank holiday & closed all FDR declared a bank holiday & closed all banks to prevent further withdrawals banks to prevent further withdrawals
Emergency Banking Relief ActEmergency Banking Relief Act - - Permitted Treasury Dept. to inspect banksPermitted Treasury Dept. to inspect banks Sound banks were allowed to reopen Sound banks were allowed to reopen Banks that needed help received loans Banks that needed help received loans Insolvent ones remained closed (unable to pay Insolvent ones remained closed (unable to pay
bills) bills) Bank HolidayBank Holiday revived public confidence in revived public confidence in
banks banks - Believed that the banks remained open - Believed that the banks remained open
were in good shape were in good shape
An Important Fireside ChatAn Important Fireside Chat FDR gave FDR gave fireside fireside
chatschats - radio talks - radio talks explaining New Deal explaining New Deal measuresmeasures
March 12, 1933 – March 12, 1933 – FDR gave 1FDR gave 1stst fireside fireside chat the day before chat the day before the banks reopened the banks reopened after holidayafter holiday
- Discussed need for - Discussed need for public support of public support of government, banksgovernment, banks
Regulating Banking and Regulating Banking and FinanceFinance
Congress took another Congress took another step to reorganize the step to reorganize the banking system banking system
Glass-Steagall Act - Glass-Steagall Act - Established Established Federal Federal Deposit Insurance Deposit Insurance Corporation (FDIC)Corporation (FDIC) insured individual bank insured individual bank
accounts up to $5000 accounts up to $5000 Regulates banking Regulates banking
practices ( forced them practices ( forced them to act cautiously with to act cautiously with money)money)
Regulating Banking and Regulating Banking and FinanceFinance
Federal Securities ActFederal Securities Act – Required – Required companies must give all information on companies must give all information on stocksstocks
Securities and Exchange Commission Securities and Exchange Commission (SEC)(SEC) created to regulate stock market created to regulate stock market
FDR got law allowing production of some FDR got law allowing production of some alcoholic beveragesalcoholic beverages
2121stst Amendment Amendment repealed prohibition by repealed prohibition by end of 1933end of 1933
Helping the American Helping the American PeoplePeople
Roosevelt administration Roosevelt administration implemented programs implemented programs aimed at helping farmers aimed at helping farmers & other workers to & other workers to stimulate economy stimulate economy
Agricultural Agricultural Adjustment Act (AAA)Adjustment Act (AAA) raised food prices by raised food prices by lowering supplylowering supply
- - Government paid Government paid farmers not to plant farmers not to plant cropscrops
Helping the American Helping the American PeoplePeople
Tennessee Valley Tennessee Valley Authority - Authority - Created jobs Created jobs renovating & renovating & building damsbuilding dams
-- Also provided Also provided flood control & flood control & hydroelectric hydroelectric power to region power to region
Helping the American Helping the American PeoplePeople
Civilian Civilian Conservation Conservation CorpsCorps (CCC)(CCC) - - public works jobs for public works jobs for young men 18 to 25 young men 18 to 25 - Built road, planted - Built road, planted trees & helped in trees & helped in soils erosion & flood soils erosion & flood control projects control projects - Men sent $25 out - Men sent $25 out of $30 home to of $30 home to family each month family each month
NIRANIRA
National Industrial National Industrial Recovery Act - Recovery Act - established codes of established codes of fair practice for fair practice for industriesindustries
Created Created National National Recovery Recovery Administration Administration (NRA)(NRA) NRANRA sets standards, sets standards,
prices, limits prices, limits productionproduction
NIRANIRA
1933 - 1933 - Public Works Public Works Administration Administration (PWA) (PWA) was was established as part of established as part of thethe NIRA NIRA
– – It provided money It provided money to states to create to states to create jobs chiefly in the jobs chiefly in the construction of construction of schools & other schools & other community buildings community buildings
Food, Clothing, and ShelterFood, Clothing, and Shelter
Home Owners Home Owners Loan CorporationLoan Corporation gave loans to gave loans to prevent prevent foreclosuresforeclosures
Federal Housing Federal Housing AdministrationAdministration gives loans for gives loans for mortgages & mortgages & repairs repairs (FHA)(FHA)
Food, Clothing, and ShelterFood, Clothing, and Shelter
Federal Federal Emergency Relief Emergency Relief Administration -Administration -direct relief to direct relief to needyneedy
The New Deal Comes Under The New Deal Comes Under AttackAttack
Deficit spendingDeficit spending - spending more - spending more money than government takes inmoney than government takes in- funded New Deal- funded New Deal
Opposition rose when the New Deal Opposition rose when the New Deal didn’t stop the Depression didn’t stop the Depression
Liberals didn’t think New Deal did Liberals didn’t think New Deal did enough to help poor, & fix economyenough to help poor, & fix economy
Conservatives believed Roosevelt used Conservatives believed Roosevelt used the New Deal to control business & the New Deal to control business & socialize economysocialize economy
The Supreme Court ReactsThe Supreme Court Reacts
Supreme Court struck down Supreme Court struck down NIRANIRA & & AAA AAA as unconstitutionalas unconstitutional
FDR proposed FDR proposed “Court-packing bill”“Court-packing bill” Change the Supreme Court from 9 to 15 Change the Supreme Court from 9 to 15
justicesjustices Would enable FDR to appoint 6 new justices Would enable FDR to appoint 6 new justices
Congress & press protestedCongress & press protested Starting in 1937 - justices retire & FDR Starting in 1937 - justices retire & FDR
appointed seven new ones appointed seven new ones
Huey Long Attacked the New Huey Long Attacked the New DealDeal
Governor of Louisiana Governor of Louisiana "King Fish""King Fish"
Built schools and hospitalsBuilt schools and hospitals Ruled Louisiana like a Ruled Louisiana like a
dictatordictator Wanted to be presidentWanted to be president Decided to challenge FDRDecided to challenge FDR Offered new deal Offered new deal
"Share our wealth""Share our wealth"- Called for every family to - Called for every family to get yearly income money to get yearly income money to buy food and housing buy food and housing - Taxed the rich heavily- Taxed the rich heavily
Made enemies in his Made enemies in his attempt to become attempt to become presidentpresident- Shot and killed in 1935- Shot and killed in 1935
Section 2Section 2The Second New The Second New
Deal Deal Takes HoldTakes Hold
The Second New Deal includes The Second New Deal includes new programs to extend federal new programs to extend federal aid and stimulate the nation’s aid and stimulate the nation’s
economy.economy.
The Second Hundred DaysThe Second Hundred Days
By 1935, economic recovery not as By 1935, economic recovery not as great as FDR had expectedgreat as FDR had expected Unemployment remained highUnemployment remained high Work programs & productions still Work programs & productions still
behind 1920s levels behind 1920s levels FDR launched second phaseFDR launched second phase Provided more relief for farmers, Provided more relief for farmers,
workersworkers
The Second Hundred DaysThe Second Hundred Days First Lady First Lady Eleanor Eleanor
RooseveltRoosevelt a social a social reformer prodded reformer prodded presidentpresident She traveled the She traveled the
country observing country observing the social conditions the social conditions & reminding FDR & reminding FDR about the sufferingabout the suffering
She also pushed for She also pushed for him to appoint him to appoint women to women to government positionsgovernment positions
Election of 1936Election of 1936 1936 - Democrats won 1936 - Democrats won
presidency & large presidency & large majorities in both majorities in both houseshouses
First time most African First time most African Americans voted Americans voted DemocraticDemocratic
First time labor unions First time labor unions supported presidential supported presidential candidatecandidate
Election was a vote of Election was a vote of confidence in FDR & the confidence in FDR & the New DealNew Deal
Helping FarmersHelping Farmers 1936 - 1936 - Soil Conservation and Soil Conservation and
Domestic Allotment ActDomestic Allotment Act replaced AAA replaced AAA- Rewarded farmers for practicing soil - Rewarded farmers for practicing soil conservationconservation
New Agricultural Adjustment Act avoided New Agricultural Adjustment Act avoided unconstitutional provisionunconstitutional provision
Resettlement Administration gave loans to Resettlement Administration gave loans to small farmers to buy landsmall farmers to buy land
Farm Security AdministrationFarm Security Administration - loaned - loaned to tenant farmers to buy landto tenant farmers to buy land- FSA hires photographers to shoot - FSA hires photographers to shoot pictures of rural towns & farms pictures of rural towns & farms
Roosevelt Extends ReliefRoosevelt Extends Relief 22ndnd New Deal New Deal established a established a
series of programs to help series of programs to help youths, professionals & youths, professionals & other workers other workers
Works Progress Works Progress Administration (WPA)Administration (WPA)- WPA workers built - WPA workers built airports, roads, public airports, roads, public buildingsbuildings- Women workers sewed - Women workers sewed clothes for the needyclothes for the needy- WPA employed - WPA employed professional writers, artists, professional writers, artists, performersperformers- Gave aid to students in - Gave aid to students in exchange for part-time workexchange for part-time work
Roosevelt Extends ReliefRoosevelt Extends Relief
National Youth National Youth Administration Administration (NYA)(NYA) - provided - provided education, jobs, education, jobs, counseling & counseling & recreation to recreation to young people young people
Improving Labor and Other Improving Labor and Other ReformsReforms
Wagner ActWagner Act - replaced NIRA - replaced NIRA- Protected right to join unions & collective - Protected right to join unions & collective bargainingbargaining- Prohibited unfair labor practices (threatening - Prohibited unfair labor practices (threatening workers or firing union members)workers or firing union members)- Established National Labor Relations Board - Established National Labor Relations Board that heard testimony about labor practicesthat heard testimony about labor practices- Held elections to determine if workers wanted - Held elections to determine if workers wanted unionsunions
1938 - Fair Labor Standards Act sets maximum 1938 - Fair Labor Standards Act sets maximum hours & minimum wagehours & minimum wage- 44 hrs per week decreasing to 40 in two years - 44 hrs per week decreasing to 40 in two years & 25 cents per hr. & 25 cents per hr.
Social Security ActSocial Security Act
1935 - 1935 - Social Social Security ActSecurity Act created created Social Security Social Security system system
Provided insurance Provided insurance for retirees 65 or for retirees 65 or olderolder
Unemployment Unemployment compensationcompensation
Aid to disabled & Aid to disabled & families with childrenfamilies with children
Expanding and Regulating Expanding and Regulating UtilitiesUtilities
Rural Rural Electrification Electrification AdministrationAdministration ((REAREA) brought ) brought electricity to farmselectricity to farms- Rose from 12.6 % - Rose from 12.6 % in 1935 to 48% in in 1935 to 48% in 1945 to 90% in 1949 1945 to 90% in 1949
Public Utility Public Utility Holding Company Holding Company Act aims to stop Act aims to stop financial corruptionfinancial corruption
Section 3Section 3The New Deal Affects The New Deal Affects
Many GroupsMany GroupsNew Deal policies and actions New Deal policies and actions
affect various social and affect various social and ethnic groups.ethnic groups.
The New Deal Brings New The New Deal Brings New Opportunities for WomenOpportunities for Women
Several women were named to important Several women were named to important government positions government positions
Frances PerkinsFrances Perkins became first female cabinet became first female cabinet member (Secretary of Labor)member (Secretary of Labor)- FDR also appointed 2 women as diplomats & 1 - FDR also appointed 2 women as diplomats & 1 as a federal judgeas a federal judge
Women still faced discrimination in workplace Women still faced discrimination in workplace from male workersfrom male workers
National Recovery Administration (National Recovery Administration (NRANRA) set ) set some lower minimum wages for womensome lower minimum wages for women
Federal work programs hired far fewer women Federal work programs hired far fewer women than menthan men
African-American ActivismAfrican-American Activism FDR appointed more than FDR appointed more than
100 African Americans to 100 African Americans to governmentgovernment
Educator Educator Mary McLeod Mary McLeod BethuneBethune headed Division headed Division of Negro Affairs of NYAof Negro Affairs of NYA
Helped organize Helped organize “Black “Black CabinetCabinet” ”
Group of influential Group of influential African-American who African-American who advised FDR on racial advised FDR on racial issuesissues
The President Fails to Support The President Fails to Support Civil RightsCivil Rights
FDR was afraid of upsetting white FDR was afraid of upsetting white Southern Democratic votersSouthern Democratic voters
Refused to approve antilynching law & end Refused to approve antilynching law & end to poll taxto poll tax
New Deal agencies discriminated against New Deal agencies discriminated against African AmericansAfrican Americans
- pay them lower wages & favored whites- pay them lower wages & favored whites African- Americans generally supported African- Americans generally supported
Roosevelt administration & New DealRoosevelt administration & New Deal
- Saw them as the best hope for the future - Saw them as the best hope for the future
FDR Wins in 1936FDR Wins in 1936
New Deal CoalitionNew Deal Coalition - different groups that - different groups that support Democratic Partysupport Democratic Party
- Helped the democratic party dominate - Helped the democratic party dominate national politics throughout the 1930s & 1940s national politics throughout the 1930s & 1940s
Political organizations in large Northern cities Political organizations in large Northern cities supported FDRsupported FDR
Urban, religious, & ethnic groups also Urban, religious, & ethnic groups also supported FDRsupported FDR
- FDR appoints officials of urban-immigrant - FDR appoints officials of urban-immigrant backgroundbackground
Indian New DealIndian New Deal
Indian New Deal: gave Native Indian New Deal: gave Native Americans economic assistance and Americans economic assistance and greater control over their own greater control over their own affairsaffairs
Section 4Section 4Culture in the 1930sCulture in the 1930s
Motion pictures, radio, art, Motion pictures, radio, art, and literature blossom during and literature blossom during
the New Deal.the New Deal.
The Lure of Motion Pictures The Lure of Motion Pictures and Radioand Radio
About 65% of About 65% of population went to population went to movies once a weekmovies once a week- Movies were still - Movies were still affordableaffordable - People watched - People watched them to escape real them to escape real life life - - Grapes of WrathGrapes of Wrath- - Gone With the Gone With the WindWind- - The Wizard of OZThe Wizard of OZ
The Lure of Motion Pictures The Lure of Motion Pictures and Radioand Radio
90% of households had a 90% of households had a radioradio
Families listened together Families listened together every dayevery day
Dramas, variety shows Dramas, variety shows played in eveningplayed in evening- - Soap operas for Soap operas for homemakers broadcast in homemakers broadcast in middle of daymiddle of day- Children’s shows after - Children’s shows after school hoursschool hours- Immediate news - Immediate news coverage became coverage became customarycustomary--
The Lure of Motion Pictures The Lure of Motion Pictures and Radioand Radio
Orson WellesOrson Welles - - actor, director, actor, director, producer, & writerproducer, & writer
The Arts in Depression The Arts in Depression AmericaAmerica
Federal Art ProjectFederal Art Project paid artists to make art, paid artists to make art, & teach in schools& teach in schools
Aim to promote art Aim to promote art appreciation & positive appreciation & positive image of Americaimage of America
Murals typically Murals typically portrayed dignity of portrayed dignity of ordinary people at workordinary people at work
Federal Theater Federal Theater ProjectProject hired actors & hired actors & artistsartists
Singer, songwriter Singer, songwriter Woody GuthrieWoody Guthrie sung sung songs about the of plight songs about the of plight of poorof poor
Diverse Writers Depict Diverse Writers Depict American LifeAmerican Life
Federal Writers’ Federal Writers’ Project supported Project supported many who become many who become major writersmajor writers
Richard WrightRichard Wright - - African-American African-American author who wrote author who wrote Native SonNative Son
John SteinbeckJohn Steinbeck wrote wrote The Grapes of The Grapes of WrathWrath about Dust about Dust Bowl migrantsBowl migrants
Section 5Section 5The Impact of the The Impact of the
New DealNew DealThe New Deal affects The New Deal affects
American society not only in American society not only in the 1930s but also in the the 1930s but also in the
decades that follow.decades that follow.
The New Deal EndsThe New Deal Ends
By 1937, economic improvement By 1937, economic improvement convinced many that Depression was convinced many that Depression was endingending
Congress wanted to cut back Congress wanted to cut back programsprograms
By 1939 - By 1939 - New DealNew Deal was over was over
Supporters and Critics of the Supporters and Critics of the New DealNew Deal
Supporters Believed the New Deal Supporters Believed the New Deal helped country recover from economic helped country recover from economic difficultiesdifficulties
Conservatives though FDR made federal Conservatives though FDR made federal government too largegovernment too large
- stifled free enterprise & individual - stifled free enterprise & individual initiativeinitiative
Liberals thought New Deal didn’t do Liberals thought New Deal didn’t do enough to socialize economy* end enough to socialize economy* end inequalitiesinequalities
Effects of the New DealEffects of the New Deal Expanded power of federal government & Expanded power of federal government &
presidentpresident Social Security Act - Social Security Act - Federal government takes Federal government takes
responsibility for citizens’ welfare responsibility for citizens’ welfare - Provided aid for aged, disabled & needy- Provided aid for aged, disabled & needy
FDIC FDIC still protects individual investors in case of still protects individual investors in case of bank failurebank failure
SECSEC still monitors stock market, enforces laws on still monitors stock market, enforces laws on stock, bond salesstock, bond sales
New DealNew Deal laws set standards for wages & hours laws set standards for wages & hours- banned child labor - banned child labor - Permitted unions- Permitted unions
Civilian Conservation Corps (CCC )Civilian Conservation Corps (CCC ) - planted - planted trees, built hiking trails, & fire lookout towerstrees, built hiking trails, & fire lookout towers
Effects of the New DealEffects of the New Deal Soil Conservation ServiceSoil Conservation Service taught farmers how taught farmers how
to preserve soilto preserve soil- Contour plowing, terraces, & crop rotation- Contour plowing, terraces, & crop rotation
1934 - 1934 - Taylor Grazing ActTaylor Grazing Act reduced grazing on reduced grazing on public landspublic lands- Grazing had contributed to erosion that caused - Grazing had contributed to erosion that caused the dust bowl the dust bowl
Tennessee Valley Authority (TVATennessee Valley Authority (TVA) created ) created electricity, & prevented floodselectricity, & prevented floods
New Deal reduced suffering & gave people hopeNew Deal reduced suffering & gave people hope- Provided jobs, food & money- Provided jobs, food & money
New Deal didn't end depression New Deal didn't end depression WWIIWWII did did