1. U.S. Economy

2. Problems with the U.S. Economy 1.Uneven distribution of wealth 2.Overproduction by business & agriculture 3.Americans were buying less

3. Stock Market Crash of 1929 From 1921 to 1929 the stock market rose from 60 to 400 Created new millionaires Investing in the market seemed like the sure thing Middle income people invested into the market Bought stocks on margin Paid small amount while a loan was made by the broker

4. Stock Market Crash U.S. Federal Reserves began to raise interest rates in hope of slowing down the economy October 24 th, people begin to panic and sell off stock Stock boom was over inflated October 28 th, the market crashes when Dow goes from 400-145 points $5 billion erased from NYSE

5. Great Depression People began to flood the banks trying to get their savings Problem, banks invested customers money into the stock market Almost no money for people to pull out of a bank The Great Depression 1/3 Americans in poverty

6. Great Depression Unemployment rates began to climb while production, production prices and wages declined Stock Market crash did not cause the depression but it did quicken the collapse of the economy American bankers demanded payment on overseas loans Germany & Austria hit hard, Banks begin to close in Europe U.S. goods dropped in Europe and the U.S. placed high tariffs on imported goods Goods all over the world depending on the U.S. would drop

7. Great Britain Britain elects a multiparty coalition known as the National Government Increased Taxes Passed high tariffs Regulated Currency Lowered Interest Rates to push economic growth By 1937, unemployment was cut in half

8. France Economic Conditions France had a more self sufficient economy (agricultural) Over 1 million unemployed in 1935 Created political instability In 1933, 5 coalition governments formed and fell Antidemocratic party begins to form The Popular Front (moderates, Socialists and Communists) Popular Front failed, France preserves democratic government

9. Socialists Governments Find Solutions Sweden, Denmark & Norway found a way to get through the depression Built recovery system on cooperative community action Sweden, government sponsored public work projects Scandinavian countries raised pensions for the elderly to increase unemployment insurance, housing and other welfare benefits

10. Recovery in the U.S. U.S. elects Franklin D. Roosevelt as president New Deal (large public works project that help to provide jobs to the unemployed) Money spent on welfare and relief programs New regulations on the stock market and banks

11. LaGuardia Airport (NY City)

12. Lincoln Tunnel (Boston)

13. Overseas Highway (Florida)

14. Smokey Mountains National Park

15. Hoover Dam