Economy Society Culture Facts about the 1920s Higher wages for certain industries Stronger economy due to higher consumerism Advertising industry booms Auto industry booms Credit use rises Agricultural sector failing - Effect on US Society Potential danger because:
Topic 7c – The Great Depression
Dangers of the 1920s Depressed Farms and Industries New technology lead to overproduction and under consumption, leading to unemployment. Tractors farmed without replenishing soil nutrients for decades. Soil began to dry up and produce nothing. Wealth Distribution Not everyone could afford new goods even with credit. Once you bought a luxury good, you didn’t need two, no matter how hard they were advertised. People could hardly pay back their items purchased on credit.
Dangers of the 1920s Carefree Attitudes The life of luxury (!) Consumerism (!) The “down for whatever” lifestyle. (!)
The Crash & Its Aftermath October 24, 1929 (Black Thursday) Panic hit the stock market as many feared the market values were too high. Stock prices plunged as a result. 5 of the nations top bankers tried to invest as much money as possible into the market to save companies but it didn’t work. October 29, 1929 Stock market crashes Companies have no money to operate or invest. Many fire employees to attempt to save the company Panic: widespread financial or commercial apprehension provoking hasty action. Stock: a share or part ownership of a company. Buying stock gives a company money to grow. When it grows, the value of that share grows which can then be sold for more money.
ON THE FARMS
The Migrant Mother (!) ON THE FARMS ON THE FARMS
IN THE CITY By 1933 one of every four people was out of work. To reduce living expenses, people moved in with relatives. As many as 15 people would crowd into an apartment built for a family of 3. Unemployment Rates Buffalo 30% Chicago 50% Toledo 80%
IN THE CITY Estimated by 1932 that 2 million people were homeless. Hoovervilles – makeshift cities for the homeless. Most Americans suffered more from the loss of hope brought on by unemployment.
In the City
In the City
IN THE FAMILY Women ran the household, revived home crafting (canning vegetables, sewing, etc.) and usually held a job. Domestic Upheaval – families broke apart due to fathers and mothers not finding work. The Depression was psychologically and spiritually draining for men, women, and children.
In the Family
In the Family