The Great Depression ( )

Transcription

1 The Great Depression ( ) Essential Question: How did the Great Depression cause a complete halt in the active cultural life of the Roaring Twenties?

2 Credit Debt (p. 337) Many people did not want to wait to save up to buy all the new stuff coming out in the 1920s so they bought it on credit and paid the money back in installments (credit payments). The problem was, they were buying more than they could pay for. Businesses and banks were not getting the money back that they loaned. Many businesses had to let people go because they could not pay their wages.

3 How banks work When people put money in a bank, all that money goes in together, and they keep records to know how much you have stored. When people borrow money from a bank, all that borrowed money comes from that same money pot (so really they are borrowing other people s money from the bank). So basically, banks usually never have everybody s money on hand at the same time.

4 Where s the Money? (p. 337) Because many of the people that lost money in the stock market used money borrowed from the banks, banks did not have enough cash on hand to give out to all its customers. Right after the crash, there was a rush on the banks by people to get all their money out. Too many people wanted to withdraw much more money than the banks had. The first people in line got most of their money, but many got nothing at all.

5 American Poverty Rises (p.338) Nearly every American became poor. Food and possessions were scarce, and many worked for only pennies a week. People that used to be wealthy now stood on street corners selling apples to try and make a few cents. Some were so hungry that they would look through garbage just to try and find whatever they could to eat. Many people depended on soup kitchens for food and would stand in long lines for a small piece of bread or a tiny bowl of soup.

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7 Unemployment on the rise (p. 338) In 1931, lots of people that were able to work could not find a job. Thirteen and a half million people were unemployed (without work). In 1933, 24.9% were unemployed. Right now about 7.3% of Americans are unemployed.

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9 Prices for Goods Drop (p. 337) Farmers had also borrowed money from the banks to buy more property. When the Great Depression began, farmer goods were not worth what they once were. For example in 1929, a bushel of wheat cost $1.05 a bushel; in 1932, it sold for only $.39. Most farmers were not making enough money to support themselves and pay off their debt. Some sold whatever they could to survive, and some lost their properties and homes.

10 Dust Bowl (p. 338 and 340) Then it got worse. Really. The few farmers that were able to keep their land then ran into another problem drought. The native grass that once grew on the prairies kept the topsoil on the plains under control; however, farmers had plowed up this native grass in order to plant wheat. The wheat s roots were not strong enough to hold down the soil, and huge dust storms began to sweep across the American plains. Nothing would grow and dust clouds would devastate the landscapes of many farms. Sometimes the dust was so thick that the sun would even get completely blocked out. The states that experienced these dust storms became known as the dust bowl.

11 Dust Bowl at/anglistik/aaas_ 2007/route66/clas s/oklahoma/dust0 02.mpeg

12 Will the President help? Nope. (p. 344) Herbert Hoover was President during this time. He got most of the blame for the Depression, even though it really wasn t his fault. Places where people made shacks to live in and survive were even called Hoovervilles. He refused to let the government help by lending out money. He was afraid the people might get lazy and depend on the government too much. He was convinced that the economy would right itself. (Just leave it alone, and everything will turn around.)

13 Herbert Hoover (Term: ) Seattle s Hooverville

14 FDR s New Deal Essential Questions: How did the Great Depression cause a complete halt in the active cultural life of the Roaring Twenties? How will the United States recover after the Great Depression?

15 A New President with New Ideas (p. 345) In 1933, Franklin Delano Roosevelt (FDR) became America s new President. He wanted to help America out of the depression, so he promised them a new plan called the New Deal. The New Deal would create jobs by having the government pay Americans for working on new projects. When FDR was sworn into office he said one of his most famous sayings, The only thing we have to fear is fear itself.

16 FDR Term: (that s 12 yrs!) Served 4 terms in office but died only 83 days after his 4 th inauguration.

17 The New Deal (p. 345) The New Deal sent many Americans back to work building bridges, roads, dams; improving transportation; and preventing floods. Many programs were initiated to modernize America and help employment rise.

18 The Civilian Conservation Corps (CCC) (p. 346) This program helped build America s state parks and planted nearly 3 billion trees. The Tennessee Valley Authority (TVA) (p. 346) This program focused on environment conservation and generating electricity.

19 Works Progress Administration (WPA) (p. 346) This was the largest New Deal agency. It did public work projects like: Constructing public buildings and roads Operating art and drama projects Feeding children and redistributing food, clothing, and housing Constructing parks, bridges, or schools

20 America working for debt? (p. 347) The New Deal did do a lot of great things by providing Americans with the jobs that they so desperately needed, but it also caused some problems: 1) TOO INVOLVED?! Many people did not want the government to be so involved in their lives like telling them where to work and how to get their jobs done. 2) DEBT! The government borrowed money to pay for the programs it put in place so now the government s debt was growing instead. Look at America s current debt:

21 Famous People during the Great Depression Duke Ellington jazz performer Margaret Mitchell author Jesse Owens athlete

22 Duke Ellington He was a jazz composer and performer. Most jazz artists (90%) lost their popularity during the Great Depression by He and his band were able to hold on by going on tour and doing radio shows.

23 Margaret Mitchell Margaret was an author born in Atlanta, GA, in She wrote one of the most famous books of all time, Gone with the Wind. It has sold over 30 million copies to date.

24 Jesse Owens He was a track and field athlete. He won 4 gold medals in the 1936 Summer Olympics. He did the 100 meter dash, the 200 meter dash, the long jump, and was on the 4x100 meter relay team.

25 Venn Diagram of Economic Policies