What was the Response to the Great Depression?

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Presentation transcript:

What was the Response to the Great Depression? Gov’t then: Barely 750,000 employees (civilian & military) Today: over 5 million No draft No federal aid for cities, schools, farmers No unemployment benefits Budget was only about $4 billion (our debt is in the trillions today) Only rich paid income taxes For most part Post Office was the only gov’t agency that most Americans really dealt with

What was the Response to the Great Depression? Conservative Response What is the conservative viewpoint? Strategy for GD? Public opinion?

What was the Response to the Great Depression? The Liberal Response What is the liberal viewpoint? Strategy for the GD?

What was the Response to the Great Depression? The Radical Response Who are radicals? Strategy for GD? Free enterprise = investments in firms are made in free market by private decision rather than by state control Socialism = Communism = Socialist & communist groups gain momentum as the depression continues Call for working class to rise up

What was the Response to the Great Depression? President Herbert Hoover’s Response His thoughts were challenged: Conditions worsened Unemployment still rising Hoovervilles = Surplus in agriculture Why is this bad? Farmers response? Banks continued to fail

What was the Response to the Great Depression? Hoover begins to take action: “voluntary cooperation” of banks Implored stable banks to loan $ to struggling banks Did this work? Why or why not? Hoover changes his mind… Gov’t gets involved 1932: Reconstruction Finance Corporation (RFC) Purpose was to provide loans to banks, railroads, & other big businesses Referred to as “Trickle Down Economics” – what does this mean? How does it work? Flaws? RFC fails to bring about intended recovery Also, created Public Works Projects like Boulder Dam (Hoover Dam) to create thousands of jobs

What was the Response to the Great Depression? President Franklin D. Roosevelt’s Response Rocks Hoover’s world in 1932 election 472 electoral votes to 59 (pop. vote by 7 million) Went on to win 3 more times (4 total) The 1st New Deal (1st 100 days  over 15 pieces of legislation to try & combat the depression) What were the 4 goals of New Deal policies?

3 Column Notes FDIC - Federal Deposit Insurance Corporation AAA - Agricultural Adjustment Act CCC - Civilian Conservation Corps PWA - Public Works Administration CWA - Civil Works Administration TVA - Tennessee Valley Authority NIRA - National Industrial Recovery Act FHA - Federal Housing Administration

Warm-Up Who Built America Reading I will collect & we will discuss. Read & take “Sum it Up” notes on the following sections: 1) The Wagner Act (pg. 431-432) 2) The Flint Sit-Down Strike (pg. 439-444) I will collect & we will discuss.