Transcript Ch. 23 - The Great Depression Begins

Chapter 23.1  The Nation’s
Sick Economy
The Election of 1928
• _______________________________ (Rep)
– _______________ Prohibition
– Took credit for ______________________ of the
1920s
• ______________________________ (Dem)
– ___________________ Prohibition
– First Roman Catholic ever nominated for President
• Hoover _________ by a landslide
The Long Bull Market
• _____________________: system for
buying and selling shares of companies
• _________ Market: Long period of rising
stock prices (____________ Market is
opposite)
• 1920s lead to heavy
________________________
Margin, Margin Call, and
Speculation
• _____________________________: buying
stock with small down payments (good as
long as stocks went up)
• ___________________________: If stocks
begin to fall, broker could demand investor
to repay NOW!
• ____________________________:
Investors betting on the market climbing
and then selling off to make a quick profit
The Great Crash
• 1929: few ___________ investors, stock
prices go _____________
• ___________________ were made, and
investors began ______________ all stock
• 10/29/29: _______________ stock prices
fell $10 - $15 ___________ dollars
• Technically this did _______ cause the
depression, it hurt the economy
Results of Black Tuesday
• _______________ lost money on
investments
• Loans were ____________________ on
• Bank deposits were not
__________________, customers lost
money if _____________________
• ________________: many people
withdrawing money at once = bank
______________________
What is the Great Depression?
• Time period between ______ and ______ in
which the _________________ plummeted
and the ________________________ rate
skyrocketed
• At its peak, _____________ out of work
and GNP down by ________ in a 4-year
period (1929-1933)
• 11,000 of the nation’s 25,000 banks
__________________
– Could not pay people back their
Roots of the Great Depression
• __________ bailout of the Bank of England (1927) led to
easy, __________________
• Efficiency led to ________________________
• Crisis in the __________________ sector
• Uneven distribution of income (______ of population
earned less than $2,500/$26,900)
• Low consumption = worker’s being
____________________
• ___________________________: down payments and
then paying the rest in monthly installments
• _______________________________: raised taxes on
imports (US bought less from overseas, and they raised
taxes so we shipped less)
• Lowered interest rates, should have _______________
them
Chapter 23.2  Hardships
Suffering During the
Depression
&
The Depression Worsens
• 1000s of banks ____________
• High __________________________
• _______________ and
__________________________
• Unable to pay ________________
• _______________________________/H
oovervilles
• _______________ emerge
• __________________________:
Escaping the Depression
• ______________________: stories about
overcoming hardship
• _______________: Snow White and the
Seven Dwarfs (1st full length animated
film)
• Wizard of Oz, Mr. Smith Goes to
Washington, Gone with the Wind
• _______________
–George Burns, Lone Ranger, Soap
The Depression Art
• Artists and writers portrayed
_________________
• _________________________: The Grapes of
Wrath
• _________________________
– Novelist
– Attitudes of Southern Whites and African
Americans
• ________________________________
Chapter 23.3  Hoover
Struggles with the Depression
Promoting Recovery
• Hoover held meetings with big wigs from ________,
_________, big business, labor, and
____________________________
• Forced businesses to _________ production, but not lower
___________ (led to the high
_______________________________ of the Great
Depression)
• Increase _______________________ (government financed
jobs)
• Hoover did not __________________ government spending
or taxes (Opposed a _____________________________)
• ___________________________ blamed for the Great
Depression
Pumping Money Into the Economy
• Hoover wanted the _________ to put more currency
into circulation (NO!)
• __________________________________ (NCC):
created a pool of money to help banks (No help)
• _____________________________________
(RFC): made $1.5 bil. in loans to banks, RR,
and Ag industries (bad b/c it was corrupt)
• Hoover felt relief was for the _____________ level
to provide not the federal government
• Emergency Relief Act/Construction Act (1932)
People Got Angry!
• __________________, rallies,
__________________ marches
• Marched onto
________________________
• 1 million _________________ were
foreclosed (taking possession of)
–Some farmers
____________________________
Bonus Army
• $1,000 bonus paid to WWI vets in
_______________
• Bonus Marches on to D.C to lobby for
receiving bonus ______________ (1932)
• Hoover _______________ to meet with
army, and ____________ votes it down!
• Police and Bonus Army clash, resulting in
several ___________________
A Hurting Hoover
• The Bonus Army incident ___________
Hoover’s image with the public
• 1932 election coming close and Hoover’s
Democratic opponent,
_____________________________________
, is looking great to the voting population
• Hoover: “For the 1st time in the history of the
depression, dividends, profits, and the cost of
living have been reduced but high
__________ have not suffered.”
• FDR upon hearing Hoover’s response to the
Bonus Army – “Well, Felix [his friend], this
will ___________________ me.”
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