1929-1934. Define 9 terms List 4 ways people expressed their anger with the government List 3 laws that Hoover asked Congress to pass to help the.

CHAPTER 19: THE GREAT DEPRESSION

1929-1934

INTRODUCTION: TO DO (34 PTS):

Define 9 terms

List 4 ways people expressed their anger with the government

List 3 laws that Hoover asked Congress to pass to help the people

19.1 THE NATION’S TROUBLED ECONOMY

TERMS

Stock Market: a place where stocks, or shares in businesses are bought and sold

Depression: a time when the economy of a nation falls sharply

Default: to fail to pay a loan when it is due Foreclose: to take the property of

someone who has failed to pay back a loan Bonus: money given in addition to what is

owed

REMEMBER?

The 1920s were portrayed as “carefree” or “exciting” People had barely enough money to pay

bills (installment buying) US economy began to all apart

Almost everyone suffered

How would you feel if all of your money suddenly disappeared?

THE STOCK MARKET CRASH

1920s – fewer than 5% of Americans were wealthy Yearly income? $3000 or less

Long hours for low pay Borrowed money to buy something

that cost a lot *also used installment plans*

People turned to the stock market Hoped to become rich as businesses grew

THE STOCK MARKET CRASH

Hoped to become rich as businesses grew People made money / wanted to make more money Began borrowing money to buy stocks Bought stocks “on margin”

Autumn 1929: stock prices started to drop To save money, people sold their stocks

Selling stocks dropped prices even more

October 29, 1929: prices plunged Stocks became worthless Many people lost their money INSTANTLY Known as Black Tuesday

THE GREAT DEPRESSION

US entered a depression

End of the 1920s: Millions out of work Farmers lost farms Banks went out of

business Used their

customer’s savings to buy stocks

During WWI: farmers sold crops to forces Made $$$ Fewer crops were

needed / prices fell Farmers defaulted on

loans for equipment

Coal and clothing businesses shrank as big business grew larger

Thousands lost their jobs

HARD TIMES: THE VICIOUS CYCLE

1932: economy broken Businesses closed Owners could not pay their employees Jobs were lost Americans could not afford to buy goods

being made Factories made fewer goods Needed fewer workers More jobs were lost

HARD TIMES: CONTINUED

Farmers began to default on payments Banks foreclosed on their property 1932 / in one day: banks foreclosed on ¼ of

ALL FARMS in MISSISSIPPI

Americans lost homes – couldn’t pay bills People stood in line for hours for free food Families sold apples / anything for money Children had to pick through garbage for

scraps

JOBLESS AND HOPELESS

No one had any answers Hoover was asked

to help Felt government

charity was not the answer

Americans should help themselves

This made people angry

Some workers without jobs joined the Communist party.

Some farmers destroyed their crops rather than sell them for unfair prices.

Some farmers joined together to stop banks from taking their property.

WWI veterans marched on Washington, DC, in 1932.

JOBLESS AND HOPELESS

After WWI, Congress voted to give veterans a bonus Depression hit, Veterans asked for the

bonus Congress refused to pay it 15,000 veterans formed the Bonus Army

Went and camped on the nation’s capital Promised to stay until they got their bonus

JOBLESS AND HOPELESS

Hoover feared violence from the Bonus Army US Troops ordered to drive out the

protestors Veterans’ camps attacked

Most people were sickened – soldiers attacking those who had served the country

**Change needed in the government**

TO DO

Pg. 354 (Critical Thinking) USE COMPLETE SENTENCES FOR FULL

CREDIT

Pg. 356 (1-3)

Exercise 79

19.2: HARD TIMES FOR MANY

TERMS

Drought: A long period of very dry weather

Migrant Worker: A worker who travels from place to place to harvest crops

RECALL:

The Depression affected Americans in different ways Farmers suffered the most

African Americans Immigrants Unskilled workers

Unemployment for African Americans was 2x the national average

Many families had to move to try again somewhere else

CHANGES IN FAMILY LIFE

Families worked together = drew closer More likely? Families torn apart

Men (hopeless) left their wives and children

Teenagers – felt they should support themselves

Left home Children had to work to help families

7 years old Sold newspapers, yard work, ran errands Had to leave school to work or watch younger

children

THE DUST BOWL

Newcomers = not welcome California was suffering also – did not need

new workers Signs at borders

Vegetable / fruit growers – picked crops Poor living - $1.50 a day

People crowded into living situations Moved on when job was done

THE DUST BOWL

WWI – farmers FARMED Falling prices =

farming a difficult way of living

Drought – turned farms into dust

1934: Farmers had to leave their farms Often headed west

to California Became migrant

workers

AFRICAN AMERICANS AND THE GREAT DEPRESSION

African Americans Poorest Americans for a long time Lives became harder

1st workers to be fired Lower pay (owners were trying to save money) Jobs lost to white people 1932: ½ of African Americans had no jobs

AFRICAN AMERICANS AND THE GREAT DEPRESSION

African Americans: In the South Farmers – worked land of white owners

Whole families grew cotton Raised animals and a few crops for themselves

Falling prices = hardships Lived in shacks

No heating or plumbing Lived on corn meal, pork scraps, weeks

Violence escalated Lynching was always a threat

MEXICAN AMERICANS AND THE GREAT DEPRESSION

Mexican Americans: Immigrants moved to large cities / worked

in factories Factory workers = Mexicans worked for lower

pay, taking jobs from Americans Worked on farms

Farmers = Mexicans were taking jobs from Americans

Forced to live in the poorest areas Immigrants still came to settle in US Local authorities ordered thousands of Mexican

immigrants to leave

TO DO

Pg. 358 (1-2)

Pg. 361(1-3)

Exercise 80

Bonus points (complete sentences): How much was a loaf of bread sold for during the Depression?

19.3: THE US GOVERNMENT AND THE GREAT DEPRESSION

TERMS

Public works: construction projects paid for by public funds

Relief: help given to poor people

WHO’S TO BLAME?

Americans blamed Hoover Did not do enough to fight the depression

Hoover had no answers Americans turned to a new leader

PRESIDENT HOOVER’S ACTIONS

Smart businessman / millionaire by 40 WWI – headed bureau that sent troops and

clothing to people in need in Europe Depression Hits: Americans wonder:

How can a smart business man have so few plans? Why can’t Hoover find a way to help Americans?

Hoover made problems a little worse Signed a law that hurt trade with foreign

countries Fewer goods into and out of US Slow trade? Europe defaulted on money owed to

the US

PRESIDENT HOOVER’S ACTIONS

Finally realized how serious the problem was Started public works programs to put people to

work Cut taxes Lent money to banks and other businesses

Plans were too little too late Thought helping people would destroy their

freedom Depend too much on the government Government should not be responsible for

solving the problems of the economy

A NEW PRESIDENT

Hoover Believed Roosevelt’s

plan was a danger to US way of life

Roosevelt gave government too much power

Danger = strong government

Roosevelt Government should

do more to help US during this time

WON election – people felt a change was necessary

Speeches were filled with hope for the US

A NEW PRESIDENT

Roosevelt: Strong government programs to care for

suffering families Called for relief – “no citizen shall starve”

Governments job to end the Depression “Our greatest task is to put people to work”

TO DO

Pg. 362 (1-2)

Pg. 365 (1-3)

Exercise 82