The Great Depression

1. The Great Depression

2. What caused the Great Depression? • Protectionism - Series of tariffs passed by the U.S. Congress between 1913 and 1930 to protect American business against European competition • Smoot-Hawley Tariff of 1930 led to 66% decline in global trade between 1930 and 1934. • Overproduction of business and farm goods in the United States • Uneven distribution of wealth in the United States • Lessened demand for consumer goods • Buying stock on margin • Putting up only a small faction of a stock’s price in cash and borrowing the remainder from stock brokers • Prices high, speculators made money

3. What caused the Great Depression? • 1929 – Bubble burst and stock market crashed • So many people borrowed heavily that when prices stumbled, people panicked • Brokers called for loans to be repaid • US banks collapsed because they depended on their stock investments • Depositors lost money and economic impact spread • Bank failures resulting from farmers’ inability to pay back loans

4. Immediate Effects on the Great Depression • Stock Market Crash of 1929 - $30 billion loss in four days • Interrelation of loans and debts between US and Europe made recession quickly spread • US started to call for European debts • Creditors went bankrupt trying to call back loans • Lack of investments > Industrial products fall > layoff of workers > workers could not buy anything because unemployed

5. Immediate Effects of the Great Depression • Many governments stopped spending, tightened credit, and cut off international trade • Made recession worse • No safety net for unemployment

6. Charts of Unemployment • Show them here 

7. Crash Course – Great Depression • http://www.youtube.com/watch?v=GCQfMWAikyU&list=PL8dPuuaLjXtMwmepBjTSG593eG7ObzO7s

8. Assignment – Great Depression Graphic Organizer • Use your Kindles and textbooks to help research and create a table of the causes, effects, and predictions of the Great Depression. • For now, just fill in the causes. Warning: If your chart has Etc on it, I will take 20 points off automatically

9. The Great Depression • Show images of the Great Depression. They are depressing 

10. Brother, Can You Spare Me a Dime? • http://youtu.be/eih67rlGNhU

11. Quote from the Grapes of Wrath • “The last clear definite function of man—muscles aching to work, minds aching to create beyond the single need—this is man. To build a wall, to build a house, a dam, and in the wall and house and dam to put something of Manself, and to Manself take back something of the wall, the house the dam; to take hard muscles from the lifting, to take the clear lines and form from conceiving. For man, unlike any other thing organic or inorganic in the universe, grows beyond his work, walks up the stairs of his concepts, emerges ahead of his accomplishments.” • What is the underlying message of this quote? Write one sentence.

12. Assignment – Great Depression Graphic Organizer • Use your Kindles and textbooks to help research and create a table of the causes, effects, and predictions of the Great Depression. • Fill in the effects and predictions of how the government will try to fix these problems Warning: If your chart has Etc on it, I will take 20 points off automatically

13. Review Time! • What were the causes of the Great Depression? • What were some of the effects? (Immediate and long term)

14. Assignment – Photo Journal • You will only have today to complete this. Period. • You are submitting a photo journal to the President to inform him how people in the US have been affected by the Great Depression. • Your journal needs a minimum of 5 pictures and a summary of each picture of the effects of the Great Depression on the American people. • You may either draw pictures of use some of the pictures I have pre-printed.

15. The Dust Bowl

16. Natural Disasters • What are some natural disasters you can think of in fairly recent years? • What effect did it have on the areas it hit? • What role did the government play in helping with those natural disasters?

17. Predictions: • What would this kind of environmental disaster cause to happen? • What happened to the people who lived there?

18. The Dust Bowl • http://www.pbs.org/kenburns/dustbowl/watch-videos/#2284398428 • http://www.history.com/topics/dust-bowl/videos#black-blizzard

19. Dust Bowl - Research • Get in groups of 2-3 • Each group will get 2-3 questions to research • Use Kindles or textbook • You will present and share your questions to the rest of the class

20. Assignment • Individually, create an acroustic poem of DUSTBOWL and illustrate • I will put an example on the board

21. Enrichment • On your Kindle, play the interactive Dust Bowl. What choices would you make? • http://www.pbs.org/kenburns/dustbowl/interactive/

22. Mexican Repatriation • No quotas on immigration from Mexico • Mexicans freely left and entered the US as long as passed a literacy test (in Spanish) and paid small tax • Trying to escape the Mexican Revolution • Willing to do hard work for low wages

23. Mexican Repatriation • Many settled in barrios in California, Texas, and Southwest • In Texas, Mexican Americans were barred from attending “white” public schools and faced other prejudice

24. Mexican Repatriation • Americans in need of work that currently done by Mexican-Americans • Public hostility grew and became harder for Mexican immigrants • Only 33,000 given visas in the 1930s • Hoover approved Mexican Repatriation Act • Send Mexicans back to Mexico • More than half a million Americans forcibly sent back • Many were lawful citizens separated from families

25. The New Deal

26. The Great Depression • You’re President of the United States and am now facing the worst economic collapse in the nation’s history… • What do you do?

27. Herbert Hoover’s Plan • Rejected federal government directly pay unemployed and needy • Voluntary private organizations should provide relief • Advised that if prices dropped low enough, people would buy again and economy pick up

28. Herbert Hoover’s Plan • Lack of aggregate (total) demand • Federal Reserve reduced money supply of country rather than increasing it

29. Herbert Hoover’s Plan • Hoover- • Cut taxes • Increased federal spending on public projects • Directed federal agency to buy surplus crops • Established Reconstruction Finance Corporation • Emergency loans to banks and businesses

30. Herbert Hoover’s Plan • Believed in “trickle down” • Too little too late • Americans frustrated with lack of leadership • Shanty towns of the homeless called Hoovervilles on the outskirts of cities • 1932 (end of Hoover’s term) – unemployment at nearly 25%

31. President Roosevelt and the New Deal • Roosevelt was Governor of New York and offered a “New Deal” to put Americans back to work • Marked end of separate government and economy • Permanently increased the size and power of federal government

32. President Roosevelt and the New Deal • Depression was national emergency • FDR assembled the “Brain Trust” to serve under him • Told them to be as creative as possible • Addressed the nation with “fireside chats” to explain policies to American people

33. President Roosevelt and the New Deal • FDR had polio at 39 • Very sympathetic to suffering of others • Eleanor Roosevelt served as his eyes and ears throughout the country • Political activist, spoke for women’s rights, peace, and the poor

34. President Roosevelt and the New Deal • Congress called in special session • Virtually all bills FDR submitted in First Hundred Days were enacted by Congress • New Deal was the three R’s – Relief, Recovery, and Reform

35. President Roosevelt and the New Deal • Relief: • Banking crisis, relief to homeowners and farmers, relief for the unemployed • Recovery • Stimulate demand • Reform • Make sure another Great Depression never happens

36. The New Deal – Alphabet Soup • Get in groups of 2-3 (no more than 4) • Each group will be given one of the New Deal Programs • You are to create a poster of your New Deal Program • You will be given research questions that must be answered on your poster • You will present your poster to the rest of the class and teach them about your program

37. The New Deal Exit Ticket • 3 New Deal Programs and one important fact from peer presentations • 2 New Deal Programs still active today • 1 prediction of an opposition to the New Deal • Yes, this is a grade 

38. Reactions to the New Deal • Overall, positive but did face some criticism • Opponents offered different alternatives • Liberty League – Roosevelt is “Traitor to hiss class”; claimed Roosevelt was attempting to establish a popular dictatorship

39. Reactions to the New Deal • Radical critics wanted Roosevelt to go farther • Dr. Francis Townsend – pension of $200/month to citizens 65 and older • Huey Long (Governor of Louisiana) – each American family given $5,000/ yea paid by taxing the rich • Was assassinated before he could launch campaign against Roosevelt

40. Reactions to the New Deal • Father Coughlin – called for nationalization of banks and utilities • Anti-Semitic • Audience were nativists and distrusted banks • Catholic Church finally ended his broadcasts

41. New Deal and Supreme Court • Biggest threat to New Deal was Supreme Court • 1935 and 1936 – Court ruled NIRA and AAA were unconstitutional • Schechter Poultry v. US (1937) • Even during national crisis, Congress could not give president more power than in Constitution • NIRA gave president power to set codes for fair practices for businesses involved in intrastate (within a state) commerce. • Schechter Poultry Company convicted for failing to obey the act

42. New Deal and Supreme Court • Roosevelt fearful of other New Deal legislation being unconstitutional • Believed Justices were “out of touch” with the nation • 1937 – proposed the president could add a new justice to the Supreme Court for each Justice over 70 ½ years old

43. New Deal and Supreme Court • Roosevelt could elect 6 new justices under plan • Seen as a court packing scheme and an attempt to take away separation of powers • Despite popularity, condemned by public and Congress • Justices generally stopped overruling New Deal legislation

44. Impact and Legacy of the New Deal • Under New Deal, power of federal govt increased dramatically • Regulatory role it had under Progressives • Govt now responsible for national economy • Agencies and regulations closely control citizen’s private actions • Taxes rose dramatically to fund programs

45. Impact and Legacy of the New Deal • Expanded govt’s role in social and economic life • Relationship between govt and individual citizen changed • Many states implemented own versions of New Deal

46. Final Thoughts • Some New Deal programs eliminated after the war, others remained • Established a legacy of govt agencies, regulations, and procedures still with us today