{ CHAPTER FOURTEEN: THE GREAT DEPRESSION One of many solutions… One of many solutions…

{ STANDARDS COVERED CE Explain and evaluate the multiple causes and consequences of the Great Depression by analyzing: the political, economic, enviornmental, and social causes.

ECONOMIC TROUBLES ON THE HORIZON  (1.) Key industries can barely make a profit: railroads, textiles, coal, lumber, and steel  (2.) During WWI, farmers plant more and take out loans  After WWI, the problem is….*  Consequences for banks and farmers* THE NATION’S SICK ECONOMY: SECTION ONE

 (3.) Americans are spending less because of rising prices, stagnant wages, and overbuying on credit in previous years  (4.) Buying on credit*  The problem is…*  (5.) There is a growing gap between the rich and the poor THE NATION’S SICK ECONOMY

HOOVER TAKES THE NATION  Herbert Hoover vs. Alfred E. Smith*   A prosperous economy where Americans invest in stocks   Dow Jones Industrial Average*

THE NATION’S SICK ECONOMY  (6.) Speculation*  (7.) Buying on Margin* THE STOCK MARKET CRASHES  Early Sept. 1929, stock prices rise and fall  Oct. 24 th market plunges

 (8.) Black Tuesday*  Shareholders try to sell before prices went lower (30 billion lost by mid-November)  People who bought stocks on credit left with large debts  Stock Market Crash Video Stock Market Crash Video Stock Market Crash Video THE NATION’S SICK ECONOMY

FINANCIAL COLLAPSE  Great Depression*  People rush to banks to withdraw money, but the money is gone  1929: 600 banks close; 1933: 11,000 banks close  1929: 104 billion; 1933: 59 billion

 90,000 businesses went bankrupt  One in every four Americans was out of a job (25 percent)  Europe going through same thing with WWI debts; Treaty of Versailles and Germany  Hawley-Smoot Tariff* THE NATION’S SICK ECONOMY

{ STANDARDS COVERED CE Explain and evaluate the multiple causes and consequences of the Great Depression by analyzing: the economic and social toll of the Great Depression.

 Great Depression Video Great Depression Video Great Depression Video THE DEPRESSION DEVASTATES PEOPLE’S LIVES  In cities, people lost jobs, were evicted, and live on the streets  Hoovervilles/shantytowns*  Soup kitchens and bread lines*  African Americans and Latinos experience worse HARDSHIP AND SUFFERING DURING THE DEPRESSION: SECTION TWO

HARDSHIP AND SUFFERING DURING THE DEPRESSION  Rural areas have an advantage*  Yet, thousands of farmers do lose their farms to foreclosure  Dust Bowl*  Families migrate to California and coastal states

HARDSHIP AND SUFFERING DURING THE DEPRESSION EFFECTS ON THE AMERICAN FAMIY  Men have difficulties because they cannot support their families  The growth of hoboes wandering  No direct relief*

 Women work hard to support their families: canned food, sewed clothing, and managed budgets  Worked outside the home but receive criticism  Poor diets and lack of health care hurt children  School taxes cut*  Teenage children wander in search of work HARDSHIP AND SUFFERING DURING THE DEPRESSION

 Suicide rate increases*  People admitted to mental hospitals  Not as many doctor and dentist visits  College attendance decreases  Marriages and raising families are put off  The general feeling of this time The general feeling of this time The general feeling of this time HARDSHIP AND SUFFERING DURING THE DEPRESSION

{ STANDARDS COVERED CE Explain and evaluate the multiple causes and consequences of the Great Depression by analyzing: Hoover’s policies and their impact.

HOOVER STRUGGLES WITH THE DEPRESSION: SECTION THREE HOOVER TRIES TO REASSURE THE NATION  Herbert Hoover tries to reassure Americans that the economy will be fine  Americans need to be positive and go about business as usual  (1.) Voluntary Action*  (2.) Hoover Dam*

 Farmers anger with Hoover causes damage*  Hoovervilles, Hoover blankets, and Hoover flags HOOVER TAKES ACTION  Federal Home Loan Bank Act*  Reconstruction Finance Corporation* HOOVER STRUGGLES WITH THE DEPRESSION

GASSING THE BONUS ARMY  Bonus Army*  Hoover thought they were communists and criminals  Sends in Douglas MacArthur  Reputation never recovers  FDR and the New Deal FDR and the New Deal FDR and the New Deal