1. The Great Depression

2. Many found being broke humiliating.
Stock market crash
Didn’t realize the effect it would have
No money to replenish what was borrowed
Many found being broke humiliating.

3. The Roaring 20’s The new concept of “credit” People were buying:
Automobiles
Appliances
Clothes
Fun times reigned
Dancing
Flappers
Drinking

4. Why was this bad? Credit system WWI
People didn’t really have the money they were spending
WWI
The U.S. was a major credit loaner to other nations in need
Many of these nations could not pay us back

5. The Stock Market People bought stocks on margins Stocks fall
If a stock is $100 you can pay $10 now and the rest later when the stock rose
Stocks fall
Now the person has less than $100 and no money to pay back

6. With people panicking about their money investors tried to sell their stocks
This leads to a huge decline in stocks
Stocks were worthless now
People who bought on “margins” now could not pay
Investors were average people that were now broke
And then….

7. Read pages
What event put an end to the prosperity of the 1920’s?
What was the Great Depression?
What factors caused the Depression?
The stock market crash in October 1929
A period of hardship and unemployment in the United States and other countries that lasted through the 1930’s.
The Depression was caused by problems on farms, bank failures, and a slowing economy

8. President Hoover Herbert Hoover was president at the start
Philosophy: We’ll make it!
What He Did: Nothing
The poor were looking for help and no ideas on how to correct or help were coming

9. What about the people? Farmers were already feeling the effects
Prices of crops went down
Many farms foreclosed
People could not afford luxuries
Factories shut down
Businesses went out
Banks could not pay out money
People could not pay their taxes
Schools shut down due to lack of funds
Many families became homeless and had to live in shanties

11. Many waited in unemployment lines hoping for a job.

12. People in cities would wait in line for bread to bring to their family.

13. Some families were forced to relocate because they had no money.

14. “Hooverville” Some families were forced to live in shanty towns
A grouping of shacks and tents in vacant lots
They were referred to as “Hooverville” because of President Hoover’s lack of help during the depression.

15. Hooverville

16. Out of the Dust:
The South
and the
Dust Bowl

17. A drought in the South lead to dust storms that destroyed crops.
“The Dust Bowl”

18. The South Was Buried Crops turned to dust=No food to be sent out
Homes buried
Fields blown away
South in state of emergency
Dust Bowl the #1 weather crisis of the 20th century

20. Two Families During the Depression

21. A Farm Foreclosure

22. Some families tried to make money by selling useful crafts like baskets.

23. Page 338-339 Charities donated meals to feed the hungry.
The Dust Bowl is located in the Great Plains.
People lost their homes and did not have enough money to buy food.
What did charities and other organizations do to help people during the Great Depression?
Where was the Dust Bowl?
Why did people build shantytowns and stand in breadlines during the Depression

24. *FDR* When he was inaugurated unemployment had increased by 7 million.
Poor sections (like Harlem) had 50% of the pop. unemployed
Instated the “New Deal”
Yea! Frankie!

25. People everywhere were effected by the depression
It wasn’t till President Roosevelt took over and tried to put the economy back together that people even saw a glimmer of hope

26. Read 344-345 What were Hoover’s strategies for improving the economy?
What did Roosevelt promise that he would do as president?
Hoover waited for the economy to improve on its own and then asked Congress to help businesses and unemployed workers.
He promised to create government programs that would help people who were suffering.

27. Read page
Roosevelt created the New Deal. Name some of the programs he created.
What New Deal programs are in effect today?
CCC-Civilian Conservation Corp, TVA-Tennessee Valley Authority, WPA- Works Progress Administration, Social Security
Social Security, banking regulations, minimum wage

28. The End