1. Complete all of standard 18 vocab

2. America in Crisis: Great Depression

3. The Great Depression: Causes

4. Great Depression: Causes
Over speculation of Stocks
People bought high risk, high reward stocks
When the market plunged they lost everything
Buying stocks on Credit
Using borrowed money to buy stocks
When market plunged they could not pay back loans
Overproduction and Underconsumption
Companies were still mass producing goods, while consumers were not buying as many goods

5. The Great Depression: Immediate Effects

6. The Great Depression: Effects
Depression by the Numbers
The Gross National Product (GNP) fell from $103 billion in 1929 to $56 billion in 1933
6,000 banks failed
100,000 businesses failed
Corporate profits fell from $10 billion to $1 billion
$9 million in personal savings lost

7. The Great Depression: Effects
Depression by the Numbers
By 1933, 13 million were unemployed
25% of the workforce
Many went West to California in search of jobs
Worldwide shock-waves
The hit on the American economy negatively impacted the entire world

8. The Great Depression: Effects
Impact on Urban Life
Development of Shantytowns
Communities that consisted of shacks
Later became known as “Hoovervilles”
Numerous bread lines & soup kitchens
Although the Great Depression was a difficult time for most Americans, minority groups faced even lower wages and higher rates of unemployment than most
As a result, racial violence increased in the cities

14. The Great Depression: Effects
Impact on Rural Life
Agricultural prices fell drastically & most farmers experienced a huge increase in debt
400,000 farms were lost to foreclosure & bankruptcy
The rise of tenant farming (again…)
The “Dust Bowl”
Caused by overfarming of land in the Midwest
Massive dust clouds spread across the Midwest

26. The Great Depression: Hoover’s Response

27. The Great Depression: Hoover
Herbert Hoover (R) was elected right before the Stock Market Crash
Told the American people that they should not rely on the government for assistance through the Depression.
He lost all popularity during his presidency and the American people named the shantytowns after him (Hoovervilles)
Because he lost popularity, he lost the election of 1932 by a wide margin

28. The Great Depression: Hoover
The Election of 1932
In 1932, voters had yet to see an improvement in the economy; wanted a NEW president
Republican Candidate: Herbert Hoover
Campaigned on the premise that his policies prevented the Great Depression from being worse than it could have been
Democratic Candidate: Franklin Delano Roosevelt
Campaigned on cautious liberalism
Rejected Hoover’s conservatism, as well as the radical approach of socialists & communists

29. The Great Depression: The New Deal

30. The Great Depression: New Deal
Upon accepting the Democratic nomination for the presidency, FDR promised “a new deal for the American people…”
Roosevelt won by saying his New Deal would provide government assistance to the people
At his first Inaugural Address Roosevelt stated, “the only thing we have to fear is fear itself…”

31. The Great Depression: New Deal
The New Deal
Roosevelt’s program for relief, recovery & reform
Aimed at combating the problems caused by the Great Depression
The Hundred Days (March 9 – June 16, 1933)
During this time, FDR took a very radical approach to ending the Great Depression
Passed 15 major New Deal Programs…
Roosevelt’s Fireside Chats

32. The Great Depression: New Deal
Laws that were passed during the Hundred Days included:
Federal Deposit Insurance Commission
Deposits up to $2500 were protected
Civilian Conservation Corps
Put 250,000 young men to work in construction jobs
Tennessee Valley Authority
Provided jobs, electricity, and water to rural areas of Tennessee, Georgia, and Alabama
Agricultural Adjustment Act
Farmers were paid to REDUCE their production of crops

33. The Great Depression: New Deal
Challenges to the New Deal
Supreme Court
Struck down many New Deal programs as unconstitutional
Roosevelt tried to pack the courts with pro-New Deal judges but failed
Huey Long
Democrat who argued that the New Deal was not doing enough to help struggling Americans
Share The Wealth Program: wanted each American to have an income of $2500 a year
This was too close to Socialism to many Americans

34. The Great Depression: New Deal
2nd New Deal
After challenges to the First New Deal emerged, Roosevelt launched the Second New Deal…
Social Security Act (1935)
Provided economic aid the elderly (over 65)
Eleanor Roosevelt
In the Second phase of the New Deal, she changed the role of the First Lady
Became a social activist, especially for minorities and women

35. The Great Depression: New Deal
Impact of the New Deal
By 1937 widespread economic improvement convinced many Americans that the Great Depression was over.
As a result, Congress began to cut back on spending
However, the Depression continues for a majority of Americans
By 1939 the New Deal was over & events in Europe began to attract American attention
The U.S. began producing goods for nations gearing up for war, which began to fuel the American economy once again