1. The Great Depression Begins
Chapter 14

2. Economic Downfall Key businesses were barely hanging on
Farm prices dropped throughout the decade
“Farmer’s have never made money. I don’t believe we can do much about it?”
Less money to spend

3. People begin living on credit
70% of families make less than $2500/yr

4. The Election of 1928 Employment was good Wages up.
Stock Market strong.
Democrats had no shot

5. Hoover Promised “a chicken in every pot and a car in every garage.”
Had never been elected to office before.
People were happy the way things were.

6. Herbert Hoover

8. The Crash! Dow Jones was 300 points higher than 5 years earlier.
Views were overly optimistic.
October 29, 1929 the market goes caput.
Prices go even lower on Black Tuesday

10. Everyone sells stocks trying to save their money.
Bankers try to halt the crash.
Market falls another 92 points.
$6-$9 billion in losses.
600 banks close in 1929/1930
Normal people lost everything

12. Causes Small market for American goods Farm problems Too much credit
Unequal distribution of wealth
Stock pooling/overspeculation

13. Daily Life in Cities
Lose jobs, evicted, end up living in the streets/parks/etc…
Live in shantytowns
Waiting in soup and bread lines
African-Americans & Hispanics hit hardest

17. Hooverilles

21. Farms Too much food to sell. Could not pay to send to market.
Many farms get repossessed
400,000 from
Drought begins in mid-west
Many become very desperate

22. Dust Bowl begins
Crops not strong enough to hold down soil.
Many farmers head west looking for work.

23. Leaving the Dust Bowl

31. John Steinbeck

32. Response Rugged Individualism Did not believe in handouts
Would only slow recovery
Economy only in a slump.
Wait it out
“People will work harder and live a more moral life.”

33. 1932: Most unpopular man in country.
Community Chests: Private organizations to help needy.
Gov’t help would bring corruption.
Relied on indirect help.

34. Huey Long

36. Bonus Army 15,000 WWI veterans march on D.C. to get bonuses.
Scheduled for 1945: needed now.
Communist rumblings flow
Senate turns down bill

37. Gave funds for journey home: Most stayed.
Police ordered to evacuate everyone.
Hoover sends in army after 2 vets killed.

43. Douglas MacArthur