BELLWORK: February 8th What is the purpose of a tariff? Why might a tariff have a negative impact on the economy? Explain the concept of moral hazard. THINKER: President Hoover did not give money to individuals since he believed it was not the government’s job to interfere with individual initiative. He believed that job loss and poverty was a sign of individual failure; therefore, the federal government should not intervene. To what extent do you agree with this? Is intervention in the economy the government’s job? Or should the government be “hands-off” when it comes to the economy? (Laissez-faire)

Effects of the Great Depression

Hawley-Smoot Tariff (1930) Goal: protect American jobs and goods from foreign competition! Increased tariffs on 20,000 imported goods Trading partners retaliated = plan backfired! Reduced American exports/imports by half!

Bank Failures

Unemployment

Homelessness

The Dust Bowl

President Hoover’s Response Hoover’s popularity as President was decreasing just as fast as the economy……. When he was elected in 1928, he was extremely popular, optimistic, and confident. “The United States is nearer to the final triumph over poverty than ever before in history” A few months later the stock market crashed “We have now passed the worst, and shall rapidly recover” Believed the economy would fix itself Explain the concept of moral hazard.

President Hoover’s Response

President Hoover and the Depression Depression deepens: 1929: 23,000 businesses fail 1932: 32,000 businesses fail Average income in 1929: $2,300 Average income in 1932: $1,600 Unemployment in 1929: 5% Unemployment in 1932: 25% Farmers feel the worst effects of the Great Depression: no government aide, no money to farm, no one is buying crops, dust storms ruin fields. In 1932, Hoover offers some aide but it’s too little, too late.

Thinker Discussion President Hoover did not give money to individuals since he believed it was not the government’s job to interfere with individual initiative. He believed that job loss and poverty was a sign of individual failure; therefore, the federal government should not intervene. To what extent do you agree with this? Is intervention in the economy the government’s job? Or should the government be “hands-off” when it comes to the economy? (Laissez-faire)

VS THE ELECTION OF 1932 President Herbert Hoover Two completely different men with two completely different ideas on government involvement Governor Franklin Delano Roosevelt President Herbert Hoover VS

Ideas on Government Minimal government action Herbert hoover Franklin Roosevelt Minimal government action “The key to recovery is confidence” State and local governments should handle relief Start with prosperity at the top  foster economic growth Expand government roles Federal government should handle relief Government should oversee programs for recovery (New Deal!) Unemployment commission and relief administration Startled by uneven prosperity  help the lower classes first

“This Campaign is more than a contest between two men “This Campaign is more than a contest between two men. . . . It is a contest between two philosophies of government.” -President Hoover, 1932

Electoral Votes Roosevelt: 472 Hoover: 59 Hoover won six states, and FDR won by a huge margin of 7 million popular votes.

Fireside Chats

Roosevelt’s New Deal To learn about Roosevelt’s New Deal policies, read pgs. 195-199 and take notes on the 3 R’s of FDR’s New Deal: Relief (Immediate response to bring stability) Recovery (Improvements made to the economic system to stimulate growth) Reform (Programs implemented to stop a future economic downturn)

RELIEF RECOVERY REFORM

Partner Discussion Which New Deal policies are still used today? After assessing all New Deal programs, which do you feel was the most effective in helping America during the Great Depression?

Evidence vs. Analysis practice Today you are going to embrace your inner-historian! The class will be divided into three groups. Each group will be given an envelope of pictures pertaining to someone’s way of life. It is up to your group to analyze the evidence in order to reach a conclusion. Try and be as specific as possible! Each group must turn in one paper that explains the evidence, your conclusion, and the analysis of evidence that helped reach your conclusion.

Evidence vs. Analysis practice You must also give a brief presentation to the class about your person. Make sure to use proper analytical phrasing! Consider the following: Gender? Time Period? What they do for fun Culture What they eat and how they obtain it Make sure you’re not only addressing these points, but also explaining HOW you know this

For example……. The size, shape and material of this helmet indicates it was worn by a knight in Medieval Europe. The gold cross-like design on the helmet proves this knight fought for a Catholic country – most likely one in Western Europe. Since the knight fought for a Catholic country, this would suggest these helmets were worn by soldiers during the Crusades. Since women were not allowed to fight, it is clear that the owner of this helmet was a male.