Stock market crash Stock Market Crash, Black Tues. Oct. 29, 1929 Didn’t realize the effect it would have No money to replenish what was borrowed Many found being broke humiliating.

The Roaring 20’s The new concept of “credit” People were buying: –Automobiles –Appliances –Clothes Fun times reigned –Dancing –Flappers –Drinking

Why was this bad? Credit system –People didn’t really have the money they were spending WWI –The U.S. was a major credit loaner to other nations in need –Many of these nations could not pay us back

The Stock Market People bought stocks on margins –If a stock is $100 you can pay $10 now and the rest later (finance part of the cost of the stock) when the stock rose Stocks fall –Now the person has less than $100 and no money to pay back

And then…. With people panicking about their money investors tried to sell their stocks –This leads to a huge decline in stocks –Stocks were worthless now People who bought on “margins” now could not pay Investors were average people that were now broke

1920’s Problems Factories making Too Much, Farms growing too much Factories Fire Workers (Don’t need them) Farm Prices fall (Farmers can’t make $$) Farmers & Factory Workers can’t pay back loans to Banks: DEFAULT!! Banks Close because they have no money: Loans have not been paid back, can’t give people their savings BANKS Have NO $$ PEOPLE LOST SAVINGS & JOBS NO ONE TO HELP!

Banking System Collapse Banks invested heavily in the market Collapse of market led to bank failures Many depositors panicked, leading to even more bank failures Federal Reserve system not regulating money given to banks.

= + People Default on Loans Banks have no money to give people Banks Close People Loose savings

Herbert Hoover was president at the start Philosophy: We’ll make it! What He Did: Nothing The poor were looking for help and no ideas on how to correct or help were coming

Farmers were already feeling the effects –Prices of crops went down –Many farms foreclosed People could not afford luxuries –Factories shut down –Businesses went out Banks could not pay out money People could not pay their taxes –Schools shut down due to lack of funds Many families became homeless and had to live in shanties

. Jobless / Homeless – Jobless goes from 4 to 12 million 2. Houses are lost, people become homeless 3. People are Desperate!!!! B. Hatred for President Hoover 1. Say’s it is NOT Government’s job to fix the Poor a. Say Churches and other groups should help b. PROBLEM: People too poor to help churches so churches can’t help as much!!! 2. People name Poor Places after Hoover a.*Hooverville- Shanty towns / Hoovermobile- cars pulled by mules b. HOBOS- look for jobs traveling the rails * Hooverblankets- newspapers used as blankets by homeless

Bonus Army A group of about 15,000 WWI veterans who marched Washington D.C. in 1932 to demand there immediate bonus that was promised to them for their service in WWI (1945). Hoover sends in Army they used tear gas, machine guns, and burned the camp down Hoover’s removal of vets made Hoover appear heartless

Many waited in unemployment lines hoping for a job.

People in cities would wait in line for bread to bring to their family.

Some families were forced to relocate because they had no money.

“Hooverville” Some families were forced to live in shanty towns –A grouping of shacks and tents in vacant lots They were referred to as “Hooverville” because of President Hoover’s lack of help during the depression.

A drought in the South lead to dust storms that destroyed crops. “The Dust Bowl”

The South Was Buried Crops turned to dust=No food to be sent out Homes buried Fields blown away South in state of emergency Dust Bowl the #1 weather crisis of the 20th century

Two Families During the Depression

A Farm Foreclosure

Some families tried to make money by selling useful crafts like baskets.

*FDR* When he was inaugurated unemployment had increased by 7 million. Poor sections (like Harlem) had 50% of the pop. unemployed Instated the “New Deal” Yea! Frankie!

People everywhere were effected by the depression It wasn’t till President Roosevelt took over and tried to put the economy back together that people even saw a glimmer of hope

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Major Historical Happenings... Jim Crow Laws Scottsboro Trials Recovering from the Great Depression Racial Injustice Poor South

Jim Crow Laws After the American Civil War most states in the South passed anti-African American legislation. These became known as Jim Crow laws.American Civil War These laws included segregation in… –Schools-- Hospitals –Theaters-- Water fountains –Restaurants –Hotels –Public transportation –Some states forbid inter-racial marriages

These laws were instituted in 1896 and were not abolished till the late 1950’s (even then still not completely).

9 young African- American men (13- 20) accused of raping 2 white girls in 1931 Immediately sentenced to death Trials went on for nearly 15 years before all the men were dismissed

Started on a train bound for Memphis Several white men boarded and picked a fight with the black men Whites were forced off train by the 12 black men. The white men reported the black men had raped two white girls on the train to authorities They were immediately arrested and tried in front of an all-white jury.

The trials caused a huge uproar amongst the black community.

Wrote To Kill a Mockingbird in 1960 Based the story on her life growing up in Monroeville, Alabama TKAM was the only novel she ever wrote

The character of “Dill,” Scout and Jem’s playmate in the novel was based upon Lee’s actual neighbor, Truman Capote Capote is famous for amongst other things, In Cold Blood and Breakfast at Tiffany’s. It has been said that he gave Lee a Mockingbird as a gift.

In 1962 the novel was turned into a film starring Gregory Peck. It received a humanitarian award and several Academy Award nominations