Life during the Great Depression

In 1932- 30,000 companies went out of business By 1933 9,000 banks had failed More than 12 million workers were unemployed (1/4 of workforce!) Average family income in 1929 was $2,300. By 1933 it was $1,600.

Soup kitchens were run by private charities- no gov’t handouts! Hoovervilles or shantytowns sprung up on unused public land

The Dust Bowl Terrible drought struck the Great Plains from 1931-1939 “Okies”, migrants from Oklahoma region, moved their family west.

Escaping the Depression Soap Operas Walt Disney Movies Dances Music

Hoover’s Response Late to respond to depression Public upset 1931 increased public works projects 1932 Emergency Relief and Construction Act $1.5 billion for public works $300 million in loans to the states for direct relief Too little too late

The Angry Public Farmers revolt- more to harvest crop then sell it People starving and food going to waste in fields Bonus Marchers WWI veterans camped in Hoovervilles in Washington DC waiting for the $1000 bonus Congress promised

Election of 1932 Franklin Delano Roosevelt is elected. Democrat

The Dust Bowl

FDR and the New Deal

The First 100 Days Congress passed 15 major acts Never been done before or since “Fireside Chats”- Roosevelt addressed the nation nightly on the radio

New Deal Programs Purpose of New Deal Put people back to work and regulate economy Securities and Exchange Commission (SEC) Regulate the stock market and prevent fraud Federal Deposit Insurance Corporation (FDIC) Provide gov’t insurance for bank deposits

Agricultural Adjustment Administration (AAA) Gov’t would pay farmers not to raise certain livestock or grow certain crops National Industrial Recovery Act (NIRA) Set up fair labor codes Became National Recovery Administration (NRA)

Civilian Conservation Corps (CCC) Men 18-25 yrs old Working in the national forestry service Federal Emergency Relief Administration (FERA) Granted federal money to state and local gov’ts to help unemployed

Public Works Administration (PWA) and Civil Works Administration (CWA) Provided employment in construction of airports, parks, schools, and roads Tennessee Valley Authority (TVA) Powered Tennessee Valley with hydroelectric power

FDR began deficit spending Spending money the gov’t did not have and so the gov’t went further into debt