Great Depression What’s so great about it, anyway?

Great DepressionGreat DepressionWhat’s so great about it, What’s so great about it,

anyway?anyway?

Table of Contents

• Outline

• Journal Questions

Outline

• Leading to the Great Depression• Hoovervilles• Election of 1932• New Deal• Brain Trust• Opponents to FDR• Court Packing• Other events of the 1930’s

Back

Leading to the Leading to the DepressionDepression

Farming ProblemFarming ProblemOverproductionOverproduction

Drop in Consumer Drop in Consumer SpendingSpending

Leading to the Leading to the DepressionDepression

Rising stock pricesRising stock prices

$$$$ $$$$ PerceptionPerceptionss

Leading to the Leading to the DepressionDepression

Buying on MarginBuying on Margin

Putting 10% of stock down, paying Putting 10% of stock down, paying for the rest when the stock when upfor the rest when the stock when up

Leading to the Leading to the DepressionDepression

Banking Banking practicespractices

Stock Market Crash

Oct. 29, 1929Oct. 29, 1929

$40 Billion lost in two $40 Billion lost in two monthsmonths

Leading to the Leading to the DepressionDepression

Margin Margin callscalls

UnemploymUnemploymentent

Dust Bowl Dust Bowl (33-37)(33-37)

Bonus Bonus MarchesMarches

Wanted Wanted pensions from pensions from the gov’t, the gov’t, from WWIfrom WWI

Leading to DepressionLeading to Depression

Fear, panic, Fear, panic, depressiondepression Bankruptcies Bankruptcies

LayoffsLayoffs

25% by 193325% by 1933

Hoovervilles

• Villages of homeless people Villages of homeless people during the depressionduring the depression

Election of 1932Election of 1932

• Rep.-- H. HooverRep.-- H. Hoover• Dem.– F. RooseveltDem.– F. Roosevelt

Both had different philosophies about the Both had different philosophies about the DepressionDepression

HooverHoover

• Conservative Conservative ApproachApproach

• Relied on assistance Relied on assistance from charities and from charities and volunteers volunteers

• Depression is Depression is psychological.psychological.

• Depression is a cycle.Depression is a cycle.• Relief undermines a Relief undermines a

persons character.persons character.

RooseveltRoosevelt

• Government Government needs to be needs to be activeactive

• ““The only thing The only thing we have to fear, we have to fear, is fear itself.”is fear itself.”

• ““The American The American people will get a people will get a “New Deal.””“New Deal.””

• FDR wins in a FDR wins in a landslidelandslide

Fireside ChatsFireside Chats

• Radio talks given by FDR to the Radio talks given by FDR to the country country

• Discussed problems and issuesDiscussed problems and issues

FDR’s “One Hundred FDR’s “One Hundred Days”Days”

• Enormous amounts of Enormous amounts of legislation passed legislation passed

• 2121stst Amendment Amendment (Repeals 18(Repeals 18thth))– Didn’t workDidn’t work– More criminalsMore criminals– Couldn’t taxCouldn’t tax– More jobsMore jobs– Raised spiritsRaised spirits

New Deal ProgramsNew Deal Programs

• Social Security ActSocial Security Act– est. pensions for WWI survivors and est. pensions for WWI survivors and

disabled disabled

• Fair Labor Standards ActFair Labor Standards Act– est. a 44 hr work week and .25 cent est. a 44 hr work week and .25 cent

min. wagemin. wage

• Wagner ActWagner Act– allowed collective bargaining for allowed collective bargaining for

unionsunions

Yes, More New Deal Yes, More New Deal ProgramsPrograms

• Agricultural Adjustment ActAgricultural Adjustment Act– Gov’t compensated farmers for producing Gov’t compensated farmers for producing

lessless

• ““Bank Holiday”Bank Holiday”– All banks closed to regroupAll banks closed to regroup

• Federal Deposit Insurance Corp. (FDIC)Federal Deposit Insurance Corp. (FDIC)– Insured depositsInsured deposits

• Securities and Exchange Comm. (SEC)Securities and Exchange Comm. (SEC)– Created to monitor stock marketCreated to monitor stock market

Paying for the New DealPaying for the New Deal

• Raised taxes on workers, Raised taxes on workers, borrowed money for businesses, borrowed money for businesses, and private wealthy individuals and private wealthy individuals

• ““Alphabet Administration”Alphabet Administration”– Nickname given because of the Nickname given because of the

programs created by the New Dealprograms created by the New Deal

““The Brain Trust”The Brain Trust”

• Nickname for FDR’s Nickname for FDR’s cabinet memberscabinet members– Francis Perkins first Francis Perkins first

woman cabinet woman cabinet membermember

– Appointed many Appointed many African-Americas to African-Americas to advisory positionsadvisory positions•Begins trend of Begins trend of

women and African women and African Americans voting Americans voting DemocraticDemocratic

Opponents to FDROpponents to FDR

• Huey LongHuey Long– Socialist Governor of Socialist Governor of

LouisianaLouisiana– Felt FDR and Hoover had Felt FDR and Hoover had

done too little to help done too little to help during the depressionduring the depression

– Was elected to the Senate Was elected to the Senate and vowed to win the and vowed to win the Presidency in 1936Presidency in 1936

– Was shot and killed in Was shot and killed in 1935.1935.

Opponents to FDROpponents to FDR

• Father Charles Father Charles CoughlinCoughlin– created the National created the National

Union for Social Justice Union for Social Justice party to run against party to run against FDR in 1936 FDR in 1936

– Supported Hitler and Supported Hitler and MussoliniMussolini

– Very anti-SemiticVery anti-Semitic– Radio show shut down Radio show shut down

by FDRby FDR

FDR’s “Court Packing” FDR’s “Court Packing” PlanPlan

• FDR pushed to raise the S.C. from 9 to FDR pushed to raise the S.C. from 9 to 1515

• Wanted to appoint new justices who Wanted to appoint new justices who favored the New Dealfavored the New Deal

• Opposed by both sides.Opposed by both sides.

Other 1930’s EventsOther 1930’s Events• Dust BowlDust Bowl

– Caused by poor crop Caused by poor crop rotation and droughtrotation and drought

• Grapes of WrathGrapes of Wrath– Story about a family Story about a family

during the during the DepressionDepression

Empire Empire State State

BuildingBuilding

• Worlds tallest Worlds tallest building from building from 1931-19721931-1972

Hindenburg Hindenburg DisasterDisaster

• Hydrogen blimp that Hydrogen blimp that exploded over New Jerseyexploded over New Jersey

Would you like to see theWould you like to see thedisaster? disaster?

The Wizard of OzThe Wizard of Oz

• Enormous hit film, released in 1939Enormous hit film, released in 1939

Mickey Mickey MouseMouse

• Created in Created in 1928, 1928, becomes becomes cartoon icon cartoon icon in the 30’sin the 30’s

• Becomes the terrifying radio hit in 1938Becomes the terrifying radio hit in 1938

Bonnie and ClydeBonnie and Clyde

Jessie Owens Jessie Owens wins four Gold wins four Gold Medals in the Medals in the 1936 Olympics1936 Olympics.

Journal Questions

• 1

• 2

• 3

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Question 1

• What do you think caused the Stock Market Crash in 1929?

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Question 2

• Do you think Hoover was wrong in his approach to the Great Depression? Why or why not?

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Question 3

• The Great Depression lasted a decade while New Deal after New Deal program failed to do anything to end it. Do you agree or disagree? Why?

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