Great Depression and New Deal Section 3 and 4

Herbert Hoover’s beliefs Herbert Hoover believed that the economy would recover on its own (it always did before) Individuals should help themselves. State governments and charities should take care of the poor or those in need Hoover waited until his last year in office to help the American people, but it was too late.

Hoovervilles Hoovervilles were built out of whatever people could find to make shanty homes out of to live. Newspaper- Hoover blanket Road kill- Hoover meal

Bonus Army World War 1 Veterans were promised a bonus in They needed the money now and marched to Washington to ask for it. They set up a shanty town near the Capitol Building. Hoover eventually had the Bonus Army removed by the U.S. Army, which injured many of the veterans and their family members.

Hoover’s Responses Hoover asked for people to voluntarily give employment so people would have money to spend. Many did, but most did not because of layoffs and lack of of spending. Reconstruction Finance Corporation (RFC)-this was to help the banks, railroads, insurance companies, and corporations borrow money to stay in business.

Hoover’s Responses This money did not go to the ordinary people, so it did not help them directly, it did help bail out the rich. Bank runs continued and Hoover said that the states should take care of the problem, and then eventually said that FDR would need to fix the problem of closed banks.

Dust Bowl A terrible drought hit the Great Plains in Years of damaging farming practices, turned the soil to dust. Few trees meant that the soil was carried away. Many farmers left their farms and became migrants. Migrants from Oklahoma were called Okies.

Franklin D. Roosevelt FDR won the election for president by a landslide His plan to get the country out of the Great Depression was called the NEW DEAL The New Deal consisted of Relief, Recovery, and Reform

New Deal Relief – provide immediate help for the needy Recovery –get the economy going again Reform - change the things that had caused the depression in the first place Bank Holiday- closed the banks for 4 days to inspect the banks and reopen them only if they were declared solvent. This restored confidence in the banking system

New Deal Fireside Chats were used to insure the people of the U.S. to keep their money in the banks and that the New Deal programs would help get the U.S out of the Great Depression. Glass-Steagall Act of Set up the FDIC and separated commercial banking and investment banking. Gold Reserve Act of 1934 – increased the price of gold – caused the GNP to increase

New Deal FDR proposed a number of bills to Congress and in the first 100 days of his administration, Congress passed more legislation than at any time in history. TVA-Tennessee Valley Authority- used to create electricity in rural areas NRA- National Recovery Administration-President could regulate business-used the poster with the blue eagle

Eleanor Roosevelt Eleanor supported FDR after being stricken with polio and losing the use of his legs. She was FDR’s “eyes and ears” while traveling around the country and reporting back to him She supported women’s causes as well as other human rights causes such as civil rights

Amendments 20 th Amendment- reduced the amount of time between the election of a president and the time he/she takes office as well as did a way with the December session of Congress 21 st Amendment- repealed Prohibition using constitutional state conventions (3/4) This is the only amendment to ever use be passed by state conventions