1. Ch 11: The Great Depression
11.1: The Great Crash
Allusion of Prosperity
People used credit
3 Percent Unemployment
20% owned cars
Customers bought new products
Economic Weakness
People Maxed-out their credit
Unequal Distribution of Wealth
Lots of Unsold Product Inventory
Stock Market
Stocks
Shares
Buying on Margin
Federal Reserve System
Stock Market Crashes
Black Tuesday
Crash Effects
Job Losses
Banks Close
Crash heads Overseas
Tariffs

2. Allusion of Prosperity
People used Credit to buy stuff

3. Allusion of Prosperity
3% Unemployment
Factories were booming
Hired extra workers
Unions weakened
Benefits for workers
Job security high

4. Allusion of Prosperity
20% families owned a car
Car factories kept people employed

5. Allusion of Prosperity
People bought all the new appliances

6. Economic Weaknesses People Maxed out their Credit
Couldn’t purchase anymore

7. Economic Weaknesses Unequal Distribution of Wealth
5% of Population owns 70% of Wealth

8. Economic Weaknesses Lots of Unsold Inventory
Product piled up in warehouses
New products did not need made

9. Stock Market
Wall Street
Stocks are traded (Sold & Bought)

10. Stock Market
Stocks
Shares in specific company

11. Stock Market
Shares
A fraction of a percentage of a company

12. Stock Market Crashes Black Tuesday October 29, 1929
Stock market sells 16 million shares

13. Stock Market Crashes Black Tuesday
Stock Brokers Jumps out of Windows ? No

14. Crash Effects Job Losses = Bad Cycle Warehouses full
Factories lay off laborers

15. Crash Effects Out of work laborers can’t buy new products
Job Losses
Warehouses full
Factories lay off laborers
Out of work laborers can’t buy new products
Warehouses stay full

16. Crash Effects Banks Close
People ran to get their savings out of the bank

17. Crash Effects Banks keep very little cash on hand Banks Close
People ran to get their savings out of the bank
Banks keep very little cash on hand

18. Crash Effects Banks Close Banks also made bad investments
Banks keep very little cash on hand
Banks also made bad investments
People lose their savings in a bankrupt bank

19. Crash Effects Crash Heads Over Seas
U.S. had loaned European countries money to rebuild after WWI
U.S. called in the loans
Europe could not pay back loans (Broke)
Europe could not buy any new products from U.S. (Broke)
Great Depression goes World-wide

20. Crash Effects Tariffs = Taxes on Imports
Tariffs were used to increase money for the government

21. Crash Effects Tariffs worsened economy
Tariffs = Taxes on Imports
Tariffs were used to increase money for the gov’t
Tariffs worsened economy
Made products too expensive to purchase
No country bought anything form other countries

22. Ch 11: The Great Depression
11.2: American Face Hard Times
Failures
Bank Failures
Farm Failures
Unemployment
Human Impact
Hoovervilles
Hobos
Emotional Scars
The Dust Bowl
Dust Storms
Fleeing the Plains
The Dust Bowl in popular Culture
Grapes of Wrath
Woody Guthrie

23. Failures Bank Failures
Buying on margin = borrowing money to buy stocks

24. Great Depression Failures
Farm Failures
People had no money to buy farm products
Farms still Produced

25. Failures Prices Dropped (Over Production)
Farm Failures
People had no money to buy farm products
Farms still Produced
Prices Dropped (Over Production)
Farmers produced more for less

26. Failures Couldn’t pay bank loans & Lost their Farms Farm Failures
Prices Dropped ( Over Production)
Farmers produced more for less
Couldn’t pay bank loans
& Lost their Farms

27. Failures Unemployment – Lasted 10 years 25% nation wide
50% in places (Harlem)

28. Human Impact
Hoovervilles
People blamed President Herbert Hoover

29. Human Impact Many People lost their homes Lived in tents / shacks
Hoovervilles
People blamed President Herbert Hoover
Many People lost their homes
Lived in tents / shacks
Many shacks together = Hooverville

30. Human Impact
Hobos
Homeless who traveled

31. Human Impact Emotional Scars People saved money …were resourceful
…self-reliant
Always prepared for the worst
…pessimistic about the future

32. The Dust Bowl
The Dust Storms

33. Dust Bowl Area

34. The Great Plains

35. Native Tall Grass -deep roots -drought resistant

36. 1920’s – Farmers plow up Native grass
Plant wheat (with shallow roots)
Extended drought hits
Wheat roots dry up
Soil dries up & blowes away

37. Thunderstorm winds pick up the topsoil

38. 11.2 Dust Bowl
Farmers can’t pay back farm loans

39. 11.2 Great Depression: Dust Bowl
Banks repossess farms

40. Winds blow the dust toward the East Farmers leave their farms
Push-Pull factors:
The Dust bowl ruins farms
The Great Depression causes farmers to lose their farms
People migrate west to California for jobs (Picking Agriculture)

41. Winds blow the dust toward the East
Farmers pack up everything and head west

42. The Dust Bowl
People leave the Plains

43. People see the “Oklahoma” tags
Local Californians Call Depression immigrants “Okies”

44. Route 66 (Built 1926)

45. 11.2 Great Depression: Dust Bowl
Okies get jobs as migrant workers
=(pick fruit & vegetables)

46. 11.2 Great Depression: Dust Bowl
Okies get jobs as migrant workers (pick fruit & vegetables)
Live in migrant camps (Temporary Camps near work fields)

47. The Dust Bowl
The Grapes of Wrath = Book
John Steinbeck

48. The Dust Bowl
Woody Guthrie
Folk Singer / Song Writer
Wewoka, OK

49. The Dust Bowl Socialist
Woody Guthrie - Folk Singer / Song Writer -Wewoka, OK
Socialist
Sang about the hard times of the normal American
This Land is Your Land

50. Ch 11.1 & 2: The Crash & Dust Bowl
1. How was the economy in the Roaring 20’s?
2. Which event started the Great Depression?
3. In which month & year did the Great Depression start?
4. What is the nickname for the event that started the Great Depression?
5. Why did life appear better than it really was during the Roaring Twenties?
6. How was the economy during the Great Depression?
7. What does “ A run on the banks” mean?
8. What is a stock?
9. What is a stock market?
10. What did the government do that hurt the economy?
11. Why did banks fail during the Great Depression?
12. What does “buying on margin” mean?
13. What is a hooverville?
14. What was the Dust Bowl?
15. What caused the Dust Bowl?
16. What’s an Okie?
17. Who was Woody Guthrie?
18. What was the Grapes of Wrath?
19. Why did farms fail?
20. What kind of government did Woody Guthrie believe in?

51. Ch 11.1 & 2: The Crash & Dust Bowl
1. How was the economy in the Roaring 20’s? Great
2. Which event started the Great Depression? 1929 Stock Market Crash
3. In which month & year did the Great Depression start? October 1929
4. What is the nickname for the event that started the Great Depression? Black Tuesday
5. Why did life appear better during the Great Depression? People bought products on credit
6. How was the economy during the Great Depression? Bad
7. What does A run on the banks mean? Everyone tries to take out their money out of the bank
8. What is a stock? A part /share/ percentage of company
9. What is a stock market? A place where stocks traded
10. What did the government do that hurt the economy? Tariffs (taxes) on imports
11. Why did banks fail during the Great Depression? Bad Investments / Little Cash on Hand
12. What does “buying on margin” mean? Borrowing money to buy stocks
13. What is a “Hooverville”? A shanty shack / tent town
14. What was the Dust Bowl? A serious drought in the Great Plains
15. What caused the Dust Bowl? Drought and bad planting practices
16. What’s an Okie? A person that fled the Great Plains
17. Who was Woody Guthrie? A folk singer from Oklahoma
18. What was the Grapes of Wrath? A book / movie about Okies in the Great Depressions
19. Why did farms fail? Drought and low crop prices
20. What kind of government did Woody Guthrie believe in? Socialism