Be prepared to discuss the themes of what you see

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Presentation transcript:

Be prepared to discuss the themes of what you see Journal #? As we watch a power point slide show please write down what you see, hear and any emotions you feel Be prepared to discuss the themes of what you see

Intro to 1930s

What do we remember from the 1920s Consumerism Mass Production Prohibition High Society

Warehouses were overstocked Farms are failing Extend loans Coolidge would not bail out farms Uneven wealth Rising debt Stock speculation Over production

1929 Stock Market Crash Over-Speculation, Over-Lending (banking malpractice), Under-Consumption led to an inflated market. Everyone had money in the stock market Many borrowed and invested beyond their means Buying on the margin – from broker Have $1000, borrow $9000, buy $10,000 Stocks Crashed, Banks Failed, People panicked and tried to get their money out of banks.

People run to withdraw from a bank

Causes of the Great Depression

The Business Cycle

1. Over Speculation

2. Stock Market Crash

Ripple Effect of the Crash Stock holders All Americans Risky bank loans Consumer borrowing Bank failures Savings wiped Cuts in production Unemployment

3. Over Production, Under Consumption

4. Unstable Economy

5. Government Policies – Interest Rates

The opposite of a “Bear Market” is a “Bull Market” market with falling stock prices: a situation in a stock or commodity market in which stockholders are selling in anticipation of falling prices The opposite of a “Bear Market” is a “Bull Market”

7.1 Farm Distress

7.2 The Dust Bowl

The Dust Bowl Consumerism Over consumption Over Production Inflation Severe Drought Dust storms Prairie grass to protect topsoil Once plowed, winds carried nutrient rich top soil Causing soil erosion Black blizzards 60% of farms destroyed

Great Depression InfoGraphic You will create your own InfoGraphic that represents the causes of the Great Depression You must include all 7 causes This must be in color and use more visuals than words. See examples. https://www.canva.com/create/infographics/

Banks Cast 2 Business owners 1 Bank 5 Bank Account holders (1 book ea)

Bank Activity Persons X, Y need 2 books each Persons A, B, C, D, & E each have one book They deposit their book in the bank Persons X &Y Borrow 2 books each Person X doubles their money, Person Y earns 3 books (unrealistic) Each borrower pays back all, but one book

Questions How do banks work? What could happen in this scenario that would cause problems? What problem could the account holders create? What problem could the borrowers create? What problems could the banks create?