Boom Times to Hard Times

1. Boom Times to Hard Times Ch 20 Postwar Social Change Ch 21 Politics & Prosperity Ch 22 Crash & Depression Ch 23 The New Deal

2. Postwar Social Change Chapter 20

3. Society in the 1920s • Women became more liberal • Started working and being independent • People moved from rural to urban • African Americans moved north for jobs • Suburbs boomed

4. Mass Media • Movies became very popular • “Talkies” – movies with sound • Newspapers had circulation wars • Radio reached 10 million in 1929 • Stations broadcast shows and news

5. Jazz Age • Grew out of African American music • Clubs and Dance halls drew young crowds • People feared its improvisational ways • Spurred painting, literature, and other arts • Harlem Renaissance – center of jazz movement

6. Cultural Conflicts *Prohibition • Purpose = eliminate drunkenness, prevent absenteeism and job accidents • Bootleggers – made and sold alcohol illegally • Speakeasies – bars that operated illegally • Usually run by organized crime (mob) • Most famous: Al Capone

7. Religion • Fundamentalism movement • Basic belief that Bible is absolute truth • Teaching evolution became problem • Scopes Trial – teacher arrested for evolution lesson

8. Racial Tensions • Violence against African Americans rose • KKK resurged • Crimes against all kinds of minorities • NAACP tried to help

9. Politics and Prosperity Chapter 21

10. A Republican Decade The Red Scare • Fear of communism from Russia • Jailed radicals without evidence • Supreme Court ruled to limit freedom of Speech • Labor Strikes • Fueled fears of communism • Police, steel workers, miners • Most saw unions as problem makers • Strikes declined as wages rose

11. Harding Presidency • Isolationism – avoiding political or economic alliances with other countries • Wanted disarmament – give up weapons • National Origins Act – quotas on immigration • Corruption in administration • Tea Pot Dome – Sec. of Interior gave illegal oil drilling rights for bribes

12. Coolidge Presidency • Took over when Harding died • Continued Laissez Fair economy • Kellogg-Briand Pact – 60 nations vowed to outlaw war, didn’t work • Did not run again • GOP chose Herbert Hoover instead

13. Business Boom • Credit used to buy anything • Electric power allowed for new inventions to be produced • Mass-media ads for all products • Countries productivity rose

14. Ford and the Automobile • 1908 Model T sold 30,000 • Developed assembly line • Changed industry forever • 1 car made every 24 seconds • Costs fell, everyone could own car • Tried to Americanize his workers

15. Economy in the Late 1920s • Prosperity seemed infinite • “Everyone Out to be Rich” • Uneven prosperity – rich got richer, poor stayed poor • Personal debt went through the roof • Stock Market thought to “Get Rich Quick” • Too many goods, too little demand • Farmers and workers often lost everything

16. Crash and Depression Chapter 22

17. The Market Crashes • Stocks rose above actual value • Black Thursday –October 24, 1929 • Investors sold shares at half price • President Hoover said everything was ok • Black Tuesday – October 29, 1929 • 16.4 million shares sold (4 times norm) • Total loss = $30 billion • 4 million people felt immediate shock • Spread to all 120 million people

18. Ripple Effect • Banks recalled loans, no one could pay • Bank failures wiped out savings • Factories stopped producing • Unemployment rose • Other countries suffered due to US loss

19. Impact on the World • Countries depended on US for loans • US kept import taxes high • Countries couldn’t sell goods to US • As US economy fell, so did the world’s

20. Causes of the Depression • Unstable Economy • Wealth was unevenly distributed • No one was saving money • Too many goods, not enough consumers • Overspeculation • Buying stocks with borrowed money • Used these as collateral to buy more stocks • No actual money • Government Policies • Federal Reserve cut interest rates • Lowered amount of money in circulation

21. Social Effects • “Hoovervilles” – poor shanty towns • Farmers couldn’t farm • Dust Bowl – dust storms that blew soil away • Families were strained • Discrimination grew

22. Signs of Change • 1933 – 21st Amendment – repealed Prohibition • Organized crime decreased • Empire State Building began construction

23. Hoover’s Limited Strategy • Built many public works • 1930 – Hoover Dam begins construction • Hawley-Smoot Tariff – highest import tax ever • Reconstruction Finance Corporation (RFC) • Gave credit to big companies to expand • Hoover’s unpopularity grew

24. 1932 Election • Franklin Delano Roosevelt pledged a “New Deal” • Wife, Eleanor, experienced political activist • Won by 7 million votes • 1st Inaugural Address: “So first of all let me assert my firmbelief that the only thing we have to fear is fear itself.”

25. The New Deal Chapter 23

26. The First Hundred Days • Began “Fireside Chats” • Stabilized Banks • Federal Deposit Insurance Corp. (FDIC) • Gov could check on all banks anytime

27. Created Jobs • Federal Emergency Relief Administration (FERA) • Gov funded public facilities • Civil Works Admin (CWA) • Improve roads, parks, airports • 4 million employees • Civilian Conservation Corps (CCC) • 2.5 million young unmarried men • Maintained forests, beaches, parks • $30 a month, room and board

28. The Second New Deal • First one was good but had problems • FDR’s response to critics of 1st • New agencies employed 8 million • Rural electrification was key • Wagner Act – helped Unions: bargaining • 1935 – Social Security established • Old age pensions • Unemployment • Aid for disabled

29. Limitations of the New Deal • Women were at disadvantage for jobs • Men got jobs first • Segregation was reinforced • Politicians thought Government was getting too big • Added $$$$$$ to the National Debt

30. The End of the Deal • 1937 – Recession hit again, doubled national debt • Labor Unions organized sit-down strikes • Tried to get better pay and conditions for workers • Arts increased due to federal grants • Artists painted murals on public buildings

31. New Deal’s Legacy • Public Works and Federal Agencies • All designed to help Americans • Social Security to help old and disabled • Restored hope