Unit 7
Unit 7
a. They continued to save money like they had during World War I
b. They spent heavily on consumer products
c. They purchased war bonds
d. They began putting money into retirement accounts
7.1 The Nation’s Sick Economy
A. Economic Troubles A1. Economic Problems:
- Industries declined
- Prices rose/consumers bought less
- Laissez-faire policies benefited few
- Crop prices fell/farmers overproduced
- Buying on Credit: buy now + pay later
A2. Election of 1928: Herbert Hoover
wins; believed in laissez-faire (hands-off)
govt.; 3rd straight Republican; no change
A3. Bull Market (rising stock prices) led to:
- Speculation: buying risky stocks to
make huge profits; often failed
- Buying on Margin: paying tiny amount
of $ for stocks + borrowing the rest
B. Financial Collapse B1. Black Tuesday: October 29, 1929;
stock market crashed; $30 billion lost;
started the Great Depression
B2. Great Depression: 10 yrs.; economic
collapse; 25% unemployment
B3. Banks lost $ in stock market crash;
people panicked + withdrew their $;
11,000 banks closed
B4. Smoot-Hawley Tariff: highest tariff in
US history; huge failure; trade fell 40%
B5. Causes of Great Depression
- Speculation/buying on margin
- Buying on credit
- Farmers/businesses struggling
- Unequal distribution of wealth
- Tariffs
Bell Work
November 29, 2022
Paying only a small portion of the cost of a stock and then borrowing the rest
of the money was known as:
a. Speculation
b. Buying on Margin
c. Laissez-Faire Politics
d. Direct Relief
7.2 Struggles Begin and Hoover Fails
A. People Struggle A1. Shantytowns: little towns consisting of
shacks; “Hoovervilles”
A2. Soup Kitchens: offered free or low-
cost food
A3. Bread Lines: lines of people waiting to
receive food
A4. Dust Bowl: western states where
ruined soil led to massive dust storms;
many farmers moved to California
A5. Great Depressions Stats:
- 300,000 hoboes
- 2,600 schools shut down (300,000 kids)
- Teens left their families
- Suicide rate rose 30%
B. President Hoover B1. Herbert Hoover: Republican
president when Great
Depression started; did not
believe in direct relief; overly
cautious
B2. Direct Relief: govt. support
for the poor
B3. People blamed Hoover;
Democrats won seats in
Congress in 1930
B4. Hoover supported some
govt. support for businesses,
but it wasn’t enough
Bell Work
November 30, 2022
Look at the following diagram, which shows some of the events that led to the
Great Depression, and answer the question below.
Advertising Great
Consumer
?
encourages Depression
production
people to begins with
soars after
buy more the Stock
World War I
goods Market Crash
The Bonus Army was a group of World War I veterans who were
violently disbanded after they came to Washington, D.C. to
Who was the senator from Louisiana who felt that the New Deal didn’t go far
enough to help the poor and proposed a popular program known as “Share
Our Wealth”?
a. Herbert Hoover
b. Frances Perkins
c. Mary McLeod Bethune
d. Huey Long
7.4 The Second New Deal
A. Second New Deal A1. Election of 1936: FDR
reelected by 11 million votes;
won 46/48 states; 1st time most
African Americans voted
Democrat
A2. Eleanor Roosevelt: FDR’s
wife; fought for civil rights for
women + workers
A3. Second New Deal: programs
from FDR’s 2nd term; focused on
workers
Bell Work
December 8, 2022
a. She created the multiple New Deal programs involving business and labor
b. She fought for civil rights for women and workers
c. She helped fight for Congress to pass the Fair Labor Standards Act
d. She fought for programs that cleaned up shantytowns in major cities
B. Support for Workers B1. Works Progress Administration
(WPA): created jobs in construction,
writing, + arts
B2. National Youth Administration (NYA):
provided jobs, education, + counseling
for young people
B3. National Labor Relations Act
(Wagner Act): defined unfair labor
practices; created NLRB to settle
worker/management disputes
B4. Fair Labor Standards Act: maximum
40 hr. work week; created minimum
wage; greatly limited child labor
B5. Sit-Down Strike: workers sit down @
work to protest conditions; NLRB ruled
they were illegal
C. Social Security C1. Social Security Act:
helped elderly people +
others
- Retirement insurance
for people over 65
- Unemployment
protection
- Aid to families
w/dependent children +
people w/disabilities
Bell Work
December 9, 2022
What was a purpose of Works Progress Administration programs such as the one shown in this poster?
a. Pro-business tax breaks would solve the problems associated with urban
poverty
b. Antitrust legislation would destroy the free market economy of the United
States
c. Rugged individualism must be allowed to solve social inequality
d. Government must assume more responsibility for helping the poor
Bell Work
December 14, 2022
Read the list of accomplishments of Mary McLeod Bethune and answer the question
below.
Which of the following New Deal programs did NOT have to do with
providing jobs or helping workers?