U.S. History March 22 nd, 2012 Review

___1.bull market ___2.buying on margin ___3.bear market ___4.Black Thursday ___5.Black Tuesday ___6.Great Depression A. market with falling stock prices B. market with rising stock prices C. economic downturn D. buying stocks on credit E. day on which the stock market lost $9 billion by noon F. day on which the stock market collapsed

TRUE/FALSE Banks were not hurt by the Great Depression because they had not invested in stocks. ____ Without funds, many businesses could not keep operating and closed down. ____ President Hoover agreed to the demands of the ‘Bonus Army.’ ____ President Hoover believed that the government had a responsibility to provide relief. ____

TRUE/FALSE Most Americans felt that President Hoover could solve the depression. ____ President Hoover failed to recognize how serious the depression was. ____

NOTES Review

New Deal: Name given to all of FDR’s programs Bank Holiday: temporarily closed all banks until they were stable – financially sound Hundred Days: congress passed 15 major acts to help economic crisis Fireside Chats: direct talks FDR held with the American people (on the radio) Securities and Exchange Commission (SEC): regulate stock market and prevent fraud FDIC: government insurance for bank deposits ( $2500… $250,000) AAA: pay farmers not to raise certain livestock or not to grow certain crops

CCC: single men ( yrs) for jobs in natural conservation – planting trees, building reservoirs, fighting forest fires HOLC: bought mortgages from people who were behind in payments – lower interest rates, give longer time to repay (lower monthly payments) FCA: helped farmers refinance mortgages (farms) TVA: built hydroelectric dams, brought in new industries (construction projects) – TN, KY, VA, NC, GA, AL, MS

NRA: controlled industrial production and prices with codes of fair competition – minimum wage, shorter hours – FOUND UNCONSTITUTIONAL PWA: construction projects to improve roads, highways, bridges, + dams – Awarded contracts to construction companies FERA: federal $ channeled to state & local governments (to fund state relief projects) – Major goal: create as many jobs as possible

CWA: government hired workers directly – 4 million hired and put on govt. payroll (300,000 women) – Airports, sewers, roads, schools, playgrounds

Second New Deal Programs WPA: “useful projects” – Highways, roads, bridges, airports – Federal Project Number One: artists, musicians, writers, actors REA: brought electricity to isolated agricultural areas **Social Security Act: created unemployment system, old-age pensions, disability insurance, child welfare benefits

National Labor Relations Act: guaranteed workers the right to organize unions without interference from employers = collective bargaining Public Utility Holding Company Act: eliminated unfair practices and abuses of utility companies (gas + electric) Banking Act: strengthened the Federal Reserve

Resettlement Act: assisted poor families and sharecroppers in beginning new farms or purchasing land National Housing Act: subsidize loans for builders willing to buy blocks of slums and build low cost housing – Subsidized loan: where the buyer does NOT pay interest – EX: buying a car over time with NO APR (annual percentage rate) figured in

FSA: give loans to tenant farmers so they could purchase their own farms – Tenant farmer: resides on and farms land owned by a landlord Fair Labor Standards Act: more protection for workers abolished child labor (40 hr work week established)