1. the political and economical rise and downfall of the american society
BOOM & BUST
t h e g r e a t d e p r e s s i o n
1920s to
1940s
the political and economical
rise and downfall of the
american society
© brittany paulino & krizia medenilla

2. just an overview.. Depression Economy Presidents and elections
Wall Street Crash  Black Tuesday
Bonus Army Organized Intolerance
Recession of 1938
The New Deal: how it worked and didn’t work
Social Effects
Ethics on women and racial segregation

3. H O O V E R ROOSEVELT Hoover vs.FDR:1932 Republican
The only thing to fear is fear itself!
“the only thing to fear is fear itself”
Republican
Belief that the federal government could not and should not try to fix peoples problems- Laissez Faire
H O O V E R
ROOSEVELT
Democratic
Those who believed that large scale problems like the depression required the governments help
NEW PRESIDENT: ROOSEVELT!

4. Depression Economy Rich and powerful prosper
Big companies took over the smaller companies (monopoly]
People buying on credit equals debt
Middle and lower class bought stocks
Speculation
Buying on Margin
Too much supply, not enough demand
Farming & Factory Problems emerge
Bankruptcy

5. It’s a Cycle! Too many goods, not enough demand
Unemployed people can’t buy things
Prices drop to increase buying
Employees laid off to make up for loss of profit
Companies lose profits

6. Black Tuesday & Wall Street Crash
Reaches an all time high and begins to drop
Market was still believed to be in a “healthy condition”
Claimed by Hoover
Too many loans
Black Tuesday:
Panic begins (16.4 million shares sold)
Rich and middle class affected the most

7. Black Tuesday and Wall Street Crash (cont.)
People affected by the crash
Stock holders
Factory workers – profits fell and workers laid off
Ex. Henry Ford’s Factory
Small businesses – no one could afford them
Banks – No one could pay off loans, causing debts
Too many withdrawals simultaneously
No FDIC (Federal Deposit Insurance Corp
International Effects – If one country’s economy falls, then the rest fall

8. P O L I T I C A L C A R T O O N  HOOVER
While he wanted to help the people, he was hesitant to provide direct federal relief to victims of the Great Depression.

9. Bonus Army Bonus Army jobless WWI Vets went to Washington DC
Camped out to get payment for bond that didn’t pass
Army led by MacArthur sent to suppress the Bonus Army led to violence
Ex: Camps set on fire by government

10. Recession of
Economy showed signs of gradually pulling out of depression.
Banks were stable
business earnings were moving up
Unemployment lowered at 15%.
By 1937 the country was slipping back into a recession.

11. New Deal Contradiction to Laissez- Faire
FDR designed programs to help Americans during the Depression
Promised to improve relationship with the government and economy
Closes the banks to ensure that they are “healthy” and brought on consumer trust
Established FDIC
Established Federal Emergency Relief Administration
Ex: CCC (Civilian Conservation Corps)

12. Effects of New Deal
Although New Deal helped many Americans, it fell short of many expectations
Ex: Fair Labor Standard Act
New Deal Agencies didn’t help women or minority groups
Women:
Lower wages for women
Did not help female domestic workers

13. New Deal Effects (cont.)
African Americans
Relief Programs  racial segregation
Not offered professional level jobs
Received less pay for same work
Whites worked in “white only” businesses
Blacks began protests:
“Don’t shop where you can’t work!”
Lynchings increased

14. Effects of New Deal (cont.)
Indian Reorganization Act
Promoted by Commissioner of Indian Affairs John Collier
Reversed assimilation policies
Encouraged tribes to preserve their culture and traditions.
Not all Indians liked it
Mexican Americans
Affected by CCC and given employment

15. Some reforms
National recovery association (NRA): limited production and raised prices
Civil Conservation Corps (CCC): solved some problems of unemployment by sending 3 million single men from age 17 to 23 to the nation’s forests to work.
The Home Owners' Loan Corporation (HOLC): helped people save their homes from foreclosure.
Works Progress Administration (WPA): employed more than 8.5 million people to build bridges, roads, public buildings, parks and airports. .

16. Themes of the Depression
The rejection of world leadership, but not isolationism
Cultural conflicts of the 1920s
The failure of prohibition
Government and business, was this really laissez faire?
Organized Intolerance
The persistence of progressive reform
The role and responsibilities of government in society
The New Deal and the Welfare State
Hoover as the first of the "new" presidents
Social, economic and political causes and impacts of the depression

17. STUDY HARD!