1. Great Depression: 1929-1940 Period when economy plummeted and unemployment rose rapidly
Chapters 22 and 23

2. The Economy Looks Ugly Cause and Effect New Homes Living on Credit
Distribution of Wealth
Market Crash
Banks Close
Hawley-Smoot Tariff

3. II. Close-Up
A.) Decline in housing - led to job losses in many related fields (plumbing, design, carpentry, etc.) B.) Living on Credit: - Put more people into debt - Leads to lack of consumer spending

4. C.) Uneven Distribution of Wealth: - Many poor, few rich - Fallout of middle class - Nobody to buy the surplus of goods D.) Stock Market Crash (Oct. 29 “Black Tuesday”) - Millions lose their savings on the market E.) Bank Closings: - Millions of Americans lose their savings accounts

5. F.) Worldwide Depression: - Difficult for Americans to sell goods abroad G.) Hawley-Smoot Tariff: - Raised tariffs (tax) - Increased unemployment in industries that could no longer export to Europe

6. III.) Causes of the Depression (Recap)
Tariffs and war debt that cut countries out of American economy
Farmers overproduce (Can’t Sell!)
Easy Credit (Many go into debt)
Unequal distribution of income (No middle class to buy bulk of goods)

7. IV.) Looking Ahead
How could the worldwide depression have helped leaders like Hitler take control?
- Receptive to a leader that promised better times
- Angry at other countries for Germany’s debt
- Offered a scapegoat (The Jews)

8. Hardships and Suffering

9. I. People’s Lives
A.) City Life - Jobless, folks lived on the streets or in Shantytowns (Hoovervilles) - Many rely on bread lines and soup kitchens for food B.) Rural Life - Many banks foreclose on farmers (take their property) - Dust Bowl on the Great Plains ( ) * Many farmers leave and move to Pacific coast Work as farmhands

10. Hooverville Kids

11. New York Bread Line

12. II. Family Life
A.) Men - Most wandered the streets/country looking for work - Feeling “down on their luck” B.) Women - Kept families together (Grapes of Wrath) - Kept track of finances - Worked outside the home - It was just as hard for women to show their hardships

13. C.) Life as a hobo - Travelled and worked where they could - Had a very defined sub-culture

14. Hobo Code

16. I.) Dealing with the Depression
A.) Hoover - Believed in “rugged individualism” - Government should not help individuals - Indirect help for the poor What would you do?

17. II.) The New Deal

18. A. ) F. D. R. (1933) 1. Glass-Steagall Act 1933 - Fed
A.) F.D.R. (1933) 1. Glass-Steagall Act Fed. Deposit Insurance Corp. (FDIC) - Provided insurance up to $5K 2. Federal Securities Act Companies were liable for misinformation - Securities and Exchange Commission (SEC)

19. 3. National Industrial Recovery Act (NIRA) - set wages, established labor standards - wanted to ensure fair business standards/promote industrial growth

20. B.) Critics of the New Deal - Huey Long: Believed FDR did not do enough - Conservatives believed New Deal gave too much control to the Fed. - Economists disliked Deficit Spending

21. IV.) Eleanor Roosevelt Helped her husband with social programs
Traveled the country, reported her findings
Help provide ideas for the New Deal

22. V.) Second New Deal A.) FDR’s second 100 days in office 1.) Farmers
- Many had lost their farms
- Soil Conservation Act & Domestic Allotment Act
2. Students/Young people
- High unemployment
- Works Progress Admin. (WPA)

23. 5. Retired Workers - Poverty - Social Security Act Set aside money for retirement 6. Disabled, Dependents -- Unemployment Compensation: State tax on employers