1. The Great Depression Chapter 14 Notes

2. Black Tuesday

3. Warning Signs: Farm crisis Consumers’ over reliance on credit Stock speculation –Bull market –Bear market –Margin buying

5. New York City Stock Exchange:

6. Black Thursday October 24, 1929 Lg. no. of investors (nervous about rising interest rates) began rapidly selling stocks –Stock prices dropped automatically –Huge sell off w/ few buyers Black Tuesday--more stocks dumped; prices dropped more; loans called in; people go bankrupt

7. Wall Street

8. At high noon on Black Thursday, October 24, 1929, all eyes on Wall Street were turned imploringly to the House of Morgan.

10. Great Depression Begins: Banks failed –Heavy defaults, margin calls & massive w/drawals (bank runs) Businesses closed –Mass unemployment (25% or more)

11. Great Depression Begins: Prices dropped for farm products –Farms lost to banks

13. (Continued) Income gap –Avg. income drops –Reduced purchasing power –Consumer debt Global depression –Banks call in European war loans –can’t export (European depression) –Smoot-Hawley Tariff (highest in U.S. history)

15. Hardships: Unemployment or reduced wages Immigration decreased –Migrants returned to Mexico Increased discrimination

16. Hardships: Malnutrition--esp. in children Homelessness –Shantytowns (Hoovervilles) –Hoboes

18. Families: Relatives helped one another Marriage rate fell Birthrates decline Suicide rose 28% (1929-1932) Feelings of guilt & shame

19. The Dust Bowl, 1931

20. The Dust Bowl 1931 began several years of drought Poor farming practices left land w/out grass

21. Wind storms blew away topsoil (sometimes as far as Atlantic Coast)

22. Dust Bowl Region: OK, KS, CO, NM, TX

23. The Dust Bowl Many people migrate west along Rt 66 to CA (promised land)

24. Efforts to help poor: Salvation Army, gov. agencies, religious groups –Mutualistas –Bread lines –Rent parties –Community rice barrels

25. Unemployment Offices: Selling Apples

26. Breadlines and Soup Kitchens

29. Hoovervilles

30. Pop Culture: Entertainment--means of escape –Movies gangsters, strong women, cartoons –Radio Woodie Guthrie –Literature John Stienbeck

31. Theories/Solutions: Business Cycle--regular ups & downs of business in a free enterprise system President Hoover--felt people should help themselves not the govt. –Rugged individualism –Associative state

32. Hoover Administration: Program:Actions:Effects: Public Works Program Public construction projects (Boulder Dam) Failed to have much effect Federal Farm Loan Board Loans, co-ops, bought surplus goods Helped some but didn’t end crisis Reconstruction Finance Corp. Loaned money to industry Helped some avoid bankruptcy

33. Public response to Hoover Protests –Communists, Socialists –Scottsboro Trial –Bonus Army Legal action

34. Bonus Army

35. Scottsboro Boys

36. Election of 1932: Rep: Herbert Hoover Dem: Franklin D. Roosevelt