GREAT DEPRESSION Flashcards
Describe the causes of the Great Depression. Explain how each of them were causes?
Over production - when business make more than consumers want
Underconsumption - people don’t buy products made by producers
Speculation - risking your money for stocks
“Buying on the margin” - loans to be able to buy your stock (credit)
Stock market crash 1929 - black tuesday was the sign that the economy was declining
What were bank runs? What did these runs lead to?
When so many people went to the bank to withdraw money from their savings accounts. This led to bankruptcies and bank failures because they couldn’t afford giving so many people loans.
Why did the Stock Market crash in 1929?
The long period of speculation that preceded ( prices rising at an unsustainable pace years prior to the crash)
What were the causes of the dust bowl?
Over farming , drought
Where did the dust bowl take place?
Colorado, Texas, Oklahoma, Kansas, Nebraska, New Mexico
What were the effects of the dust bowl?
Agricultural depression
Bank closures, business losses, increased unemployment
How did the Great Depression impact Herbert Hoover politically?
People were mad at him because he didn’t do enough to help the people during the crisis
Describe Hoovervilles?
Hoovervilles were also known as shantytowns and were unreliable homes to the people who were majorly affected during the depression years. Homeless town
What was FDR new deal?
A series of programs and policies of Relief, Recovery, and Reform to combat the effects of the Great Depression
What were the 3 r’s in FDR’s new deal? Explain each of them.
Relief: provide immediate help to the millions of Americans most addressed unemployment
Recovery: stimulate the economy and put the nation on the road toward overall economic recovery
Reform: address longer term issues to prevent them in the future
What was the purpose of the AAA?
To limit overproduction so that crop prices could increase
What group of people were targeted to work for the CCC? What did the CCC do?
Unemployed men ages 18-25. Provided conservation work for the unemployed
What did President Franklin Roosevelt wish to achieve through deficit spending?
Promote economic growth
What was the purpose of the TVA (Tennessee Valley Authority)?
Provide navigation, flood control, electricity generation, fertilizer manufacturing, and economic development to the Tennessee valley.
Who was the social security act designed to help? How does it work?
For the retired, unemployed. It replaces a percentage of a workers preretirement income based on your lifetime earnings.
Describe the major critic of FDR. What plan did he have for the people?
Huey long was a populist senator and former governor. Huey longs plan was “share the wealth” that guaranteed income of $2,000 per year for every US family and limit income of any US citizen to 1 million a year.
(Huey long blamed the greedy rich for the suffering of the working poor)
How did FDR attempt to deal with the Supreme Court when they declared some parts of his New Deal Unconstitutional? How was this viewed by the American public?
Roosevelt wanted to appoint more justices and force retirements of others (judiciary act)
This made him look like he was trying to power grab for the executive branch
Explain the neutrality acts in 1935 and 1937?
Neutrality act of 1935: prevented the US from selling arms to any country at war
Neutrality act of 1937: adding a cash-and-carry provision to even non-military supplies (U.S. ships could not carry passengers or goods to warring nations.)
Why did the Great Depression end?
People joining armed forces for WW2, attack on Pearl Harbor that forced US to fight
How did Eleanor Roosevelt change the role of the First Lady?
Eleanor Roosevelt was active participation in American politics by promoting her husband policies, holding a press conference being a vocal advocate for African American women.
What was Eleanor Roosevelt known as?
The First Lady of the world
What was Eleanor Roosevelt known for with FDR?
Eleanor Roosevelt was FDR’s “legs”
