1. Bellringer The Harlem Renaissance was A rebirth of negro spirituals
A rebuilding of New York buildings
An African American cultural movement
A movement of African Americans from the South to Harlem
What was the name given to New York City’s song writers during the 1920s, including Irving Berlin?
Tin Pan Alley
Renaissance
Flappers
Harlem Renaissance
Who was a writer who became a leading voice of the African American experience in the 1920s?
Bessie Smith
Langston Hughes
Louis Armstrong
Duke Ellington
How did radio change the lives of Americans in the 1920s?
People were able to listen to up-to-date news daily
Music became popular
Commercials helped people to know what businesses were in surrounding communities
Many people entered the entertainment business in the 1920s due to the invention of radio

2. Causes of the Great Depression

3. Causes of the Great Depression
Farmers’ crisis/ Over production -surplus of goods, falling prices
Lower Wages
Under consumption -b/c people were in debt
Credit buying- too much access to easy money
Tariffs -stopped foreign goods from coming into the U.S., but also slowed down foreign trade (exports out of the US)

4. Were the 1920s really “roaring?”
Buying on Credit
People wanted to live the “good life,” which meant indulging themselves with the hottest commodities (i.e. the automobile)
In order to afford these items, people bought them on credit- pay a little now, and pay the rest back later with a low interest rate
Effect: People had a FALSE
sense of prosperity

5. Stock Market Speculation
Stocks give the owner the ability to share in the profits if a company does well, or suffer losses if a company does poorly
During the 1920s, the stock market was described as a bull market- in which prices steadily rose (so if you invested, you were sure you were going to make $$)

6. Were the 1920s really “roaring?”
Over-speculation of stock market
The stock market seemed like such an easy way to make money
That is when OVER-speculation occurred. Everyone bought stocks at low prices, even if they could not afford the low prices
Stock prices did NOT reflect the true success of the business
You could take out a loan to buy stock (MARGIN!)
People who bought stocks on margin risked losing a lot of money (that they didn’t have) if the prices of stocks went down.

7. Few consumers had the money to purchase goods
Underconsumption
Few consumers had the money to purchase goods
Under-consumption led to lower prices which resulted in the loss of money for farmers and manufacturers

8. Overproduction Farmers Overproduce:
-The wide spread switch from horse-drawn to mechanized farm equipment allowed farmers to increase their production of crops
-Overproduction led to major price reductions, causing farmers to lose money and the ability to pay back farm loans

9. Scenario
You are a farmer; the year is You are bitter because your family has not shared in the urban prosperity that you have been hearing about. Your expenses for farm machinery are increasing at the same time agricultural prices (and your income) are dropping. You have watched the value of stocks continue to increase. You not only want to be able to feed your family, but you want to be wealthy enough to buy a car one day. If you buy a stock that rises in price, you may be able to accomplish all of these goals. You have heard about the successes of the radio maker, RCA and you want to invest, however, you cannot afford the full price of the stock. What will you do?

10. Scenario (Cont)
You buy 5 shares of RCA. You took out a loan from a local bank, and each share should cost you $10. But, since you are paying on margin, you only have to pay $10 immediately, and you will owe the bank $40. You run to make your purchase, and you continue to check the value of your stock.
A week later, each share of RCA is valued at $12.
The stock continues to rise, and you almost made back the original money that you had borrowed (you still owed interest), and the price of RCA dropped slightly. What will you do?

11. Scenario (Cont)
Good for you if you held on, the price of RCA is up to $50 a share! You felt relieved! Maybe you would be able to afford that car by 1929.
Then, in September of 1929, prices began to fall again. You figured the prices would again rise, so you held on to your stock.
On Thursday October 24th, your stock took a huge plunge. It went from $35 dollars a share to $18 dollars a share (in one day!). You don’t know what to do. You begin to panic, but you still hold on.
The next day, your stock dropped even further, to $11. What will you do?

12. The Stock Market Crash of 1929
October 24th- Black Thursday, when stock prices plunged and people panicked and pulled out their investments (sold their shares)
Oct. 29th- Black Tuesday- when the “bottom fell out of the market”- prices dropped to an all time low
As the prices dropped, people panicked and continued to sell, causing the prices to drop even further
People who bought stock on margin could not pay back the investors

13. Stock Market Crash
Banks who had loaned all of the money to buy on margin could not get their money back
This resulted in bank failures
While the crash of the stock market was NOT the only cause of the Great Depression, it was a major blow to the economy, and it made it impossible for the American and world economy to revive itself

14. Bellringer Under-consumption caused
People to take advantage of low prices
Farmers to grow more
Farmers to plant less
Factories to produce more
Margin buying
Gave stockbrokers a larger margin of profit
Is when paper has narrow margins
Is the best way to develop a large stock portfolio
Is credit extended to people buying stock
What is stock?
A loan to a company
Part ownership in a company
A no-risk investment
The same as a bond
Over production was caused by
Mechanized farm equipment
Prices for farm goods being too high
Having more workers after WWI ended
Women being able to work

15. Life During the Great Depression
SSUSH17 The student will analyze the causes and consequences of the Great Depression.
b. Explain factors (include over-farming and climate) that led to the Dust Bowl and the resulting movement and migration west.
c. Explain the social and political impact of widespread unemployment that resulted in developments such as Hoovervilles.

16. Brother Can You Spare a Dime
Listen to the song and make a list of things that you learned about the life of the singer before and after the Great Depression.

17. "Brother, Can You Spare a Dime," lyrics by Yip Harburg, music by Jay Gorney (1931) They used to tell me I was building a dream, and so I followed the mob, When there was earth to plow, or guns to bear, I was always there right on the job. They used to tell me I was building a dream, with peace and glory ahead, Why should I be standing in line, just waiting for bread? Once I built a railroad, I made it run, made it race against time. Once I built a railroad; now it's done. Brother, can you spare a dime? Once I built a tower, up to the sun, brick, and rivet, and lime; Once I built a tower, now it's done. Brother, can you spare a dime? Once in khaki suits, gee we looked swell, Full of that Yankee Doodly Dum, Half a million boots went slogging through Hell, And I was the kid with the drum! Say, don't you remember, they called me Al; it was Al all the time. Why don't you remember, I'm your pal? Buddy, can you spare a dime? Say, don't you remember, they called me Al; it was Al all the time. Say, don't you remember, I'm your pal? Buddy, can you spare a dime? DISCUSS YOUR FINDINGS!

18. Causes of the Great Depression

19. Did Herbert Hoover’s “hands off” policies cause the Great Depression?
Landslide victory in 1928
Conservative Republican
“General Prosperity”
Keep tariffs high
Pay down government debt
Balance the budget
Keep inflation low
Keep government out of economy

20. Did Herbert Hoover’s “hands off” policies cause the Great Depression?

21. Did Herbert Hoover’s “hands off” policies cause the Great Depression?
He kept promising recovery is here!
Believed in hands-off government, but did more than any previous president
Too little, too late!

22. Hoovervilles
As more workers lost their jobs, they were unable to pay their rent or mortgage and were evicted
This new class of homeless began to build shacks on the outskirts of cities called shantytowns, or Hoovervilles.

23. Hoover Blankets
---”We’d Like to Thank you Mr. Hoover”

24. 2 million migrants and “hobos”
13 million out of work by 1933

25. Great Depression Numbers
over 1.5 million mortgages failed

26. Great Depression Numbers
over 8,000 banks failed

27. Great Depression Numbers
1933 over 13 million out of work (over 25% of the population)

28. Great Depression Numbers
Stock Market lost 90% of its value

29. The Dust Bowl
When farmers were unable to pay back their loans, many stopped planting crops
In 1932 a drought hit the Great Plains, turning much of the top soil into dust
With the lack of rain and crops, wind blew the dried soil for hundreds of miles

31. Closing: Now and Then
Compare and contrast the Great Depression and the recent recession. How is the situation we live in today alike, and how is it different?
---Bushvilles (modern day Hoovervilles) 2min

32. The New Deal
SSUSH18 The student will describe Franklin Roosevelt’s New Deal as a response to the depression and compare the ways governmental programs aided those in need.

33. Franklin D. Roosevelt’s Appeal
In 1932 presidential election, FDR was perceived as a man of action.
Hoover was viewed as a “do-nothing president.”
Results: a landslide for Democrats and a mandate to use government as an agency for human welfare.

34. The New Deal
President Franklin Delano Roosevelt (FDR) wanted to bring America out of the Great Depression
The New Deal: FDR’s set of government plans and programs to improve America’s economy.
---2min

35. Purposes of the New Deal
Relief: to provide jobs for the unemployed and to protect farmers from foreclosure
Recovery: to get the economy back into high gear, “priming the pump”
Reform: To regulate banks, to abolish child labor, and to conserve farm lands
Overall objective: to save capitalism

36. Tennessee Valley Authority
In 1933 the Tennessee Valley Authority (TVA) was created as part of Roosevelt’s New Deal to control floods and bring electricity to rural America
The TVA generated over 40,000 jobs building dams, power plants, roads and miles of wiring
What do workers do with
the money they earn?
How could the TVA help
the economy?

37. Civilian Conservation Corp (CCC)
Purpose: relief
Gave outdoor work to unemployed men between the ages of 17 and 29
They received $30 per month, but $22 went back to the family

38. The Wagner Act Formed in 1935 the Wagner Act:
-guaranteed workers the right to unionize
-allowed for collective bargaining
-allowed for binding arbitration
-formed the National Labor Relations Board to monitor labor issues
The Wagner Act gave workers more power through the right to form unions

39. Second New Deal
After two years of New Deal programs, the American economy showed little sign of recovery
To try and speed up the recovery process, Roosevelt launched his second New Deal

40. Social Security Act Passed in 1935 the Social Security Act provided :
- retirement benefits
- unemployment insurance
- welfare payments to the needy

41. Eleanor Roosevelt
Eleanor Roosevelt spoke to many women and African American groups and relayed their plight to the President
Though little progress in race relations was made, Eleanor helped promote minority and women’s rights
She fought for fair wages and fair treatment of women in the workplace, especially government jobs

42. Political Challenges: Huey Long
Roosevelt’s New Deal Programs had opponents including Huey Long, a Senator from Louisiana
Started “Share the Wealth” clubs believing that the government should take money from the rich and give it to the poor
Wanted to run for President
Was assassinated 1935

43. Criticisms of Conservative Opponents
Conservative opponents said the New Deal went too far:
It was socialism (killed individualism)
It added to the national debt ($35 billion)
It wasted money on relief and encouraged idleness
It violated the constitution & states rights
It increased the power of the Presidency (FDR was reaching toward dictatorship, Congress a rubber stamp, independence of judiciary threatened, separation of powers shattered)

44. Court Packing
The Supreme Court had struck down several of Roosevelt’s programs declaring them unconstitutional
In an attempt to control the Supreme Court, Roosevelt sent Congress a bill which would allow him to increase the number of justices on the court
This would allow Roosevelt to appoint justices who were “friendly” towards his New Deal policies

45. Court Packing
After much protest by Congress and many Americans, the bill was killed in the Senate
Roosevelt over estimated his power

46. Neutrality Act
As not only the U.S., but the world struggled to emerge from the economic depression, military dictators in several countries began to gain power (Germany, Italy, Japan, Russia).
Worried that the U.S. would be drawn into another European war, Congress passed the Neutrality Act which made it illegal for Americans to sell weapons to any country at war and that goods purchased from the U.S. had to be paid in cash and transported on non U.S. ships
Why would Congress insist
on goods being transported
on non U.S. ships?

48. Bell Ringer Court packing was FDR’s way of
Getting a New Deal friendly court
Getting a fairer ruling on Constitutional issues
Getting more people on a tennis court
Keeping checks and balances intact
Hoover’s economic policies during the Great Depression could best be described as
Socialism
Laissez-faire
Popular
Creative and new
Because of the dustbowl, farmers
Migrated west
Became business men
Began to work other jobs to pay their mortgages
Investing in irrigation systems
Margin buying
Gave stockbrokers a larger margin of profit
Is when paper has narrow margins
Is the best way to develop a large stock portfolio
Is credit extended to people buying stock