Great Depression / New Deal

Question 1

Black Tuesday

Answer 1

Oct. 29, 1929: The day the stock market prices dropped sharply / crashed.

Question 2

Dust Bowl

Answer 2

Caused by drought, high winds, over production of crops.

Question 3

Bonus Army

Answer 3

Group of WWI vets and their families that marched to D.C. in 1932 to demand the immediate payment of their government war bonuses in cash

Question 4

New Deal

Answer 4

FDR’s program to help fight problems of the Great Depression. 3 R’s: Relief for the needy, Recovery for the economy, Reform for financial institutions.

Question 5

Court Packing Scheme

Answer 5

failed plan by FDR to increase number of Supreme Court Justices from 9 to 15

Question 6

buying stock on margin

Answer 6

Borrowing money to buy stock

Question 7

unemployment rate

Answer 7

Peak unemployment rate during Great Depression was 25%. Even with New Deal program, it was as high as 14%.

Question 8

Hooverville

Answer 8

shantytowns (areas of shacks or makeshift dwellings) built by destitute people during Depression. Called Hoovervilles bc the people blamed him for not helping.

Question 9

Dr. Francis Townsend

Answer 9

1st supported FDR but then became a critic bc the New Deal didn’t help elderly. Inspired FDR to make Social Security. Created revolving pension plan. Supported by 2% tax. Every person over 60 gets $200 monthly (retired) and had had to be free from habitual criminality. Had to spend $ within a month to stimulate economy.

Question 10

Father Charles Coughlin

Answer 10

Became famous bc he starts one of the 1st radio shows. Originally an FDR supporter, he later became a critic bc he felt FDR was controlled by the Jewish (he was a strict Catholic)

Question 11

Main causes of the Great Depression

Answer 11

availability of easy credit, overproduction of food, crisis in farm sector, stock market crash

Question 12

Differences in Hoover’s approach and FDR’s approach?

Answer 12

Hoover: Gov. should play limited role. People should help themselves, and stock market will fix itself. FDR: Gov. should play a large role, should help people.

Question 13

Criticism of New Deal from left and right?

Answer 13

Left: not far enough. Right: too far

Question 14

Short and long term effects of the Great Depression:

Answer 14

Short: Children and adults had poor diets, homelessness, unemployment

Long: people developed saving habits, became more thrifty

Question 15

What did Huey Long’s “Share our wealth” plan call for?

Answer 15

Heavily taxing the rich and giving it to the poor.

Question 16

FDIC

Answer 16

Federal Deposit Insurance Corporation: protected bank deposits up to $5,000 (today, up to $250,000) Benefited people using banks, did not benefit people not using banks. Criticism: It didn’t protect all the $ if more than $5,000 deposited.

Question 17

NIRA

Answer 17

National Industrial Recovery Act: raised prices, set min. wage, bargaining rights. Benefited individuals and businesses. Criticism: failed to make sufficient dent in unemployment., the rules were very complicated, too much control. (we have unions today)

Question 18

AAA

Answer 18

Agricultural Adjustment Act: raised farm prices by lowering production, helped farmers. Criticism: many protested destruction of food when so many were going hungry. Farmers still do this today, but with a diff organization

Question 19

TVA

Answer 19

Tennessee Valley Authority: focused on depressed Tennessee River Valley. They reactivated hydroelectric power facilities. Helped farmers and people in the area, gave lots of jobs to people. Criticism: it was emblem of big gov. It is a model of gov. planning.

Question 20

WPA

Answer 20

Works Progress Administration: improved playgrounds, schools, supported artists, helped 8 million citizens, entertained people and future generations. Criticism: too expensive, too much gov.

Question 21

NYA

Answer 21

National Youth Administration: provided work for 14-25 unmarried males. Criticism: it didn’t help females, or older/younger males(too exclusive) too expensive. Also, the public facilities are still around today

Question 22

CCC

Answer 22

Civilian Conservation Corps: male workers helped with restoration projects, environmental. Helped young unmarried 18-25 males. They got meals, beds, etc for free. Made around $20 that they sent back home. Criticism: little money, didn’t allow women

Question 23

FSA

Answer 23

Farm Security Administration: loaned $10 billion to set up camps, helped farmers, hired photographers (Dorothea Lange became famous for her photography). Saved farms. Loaned money to help farmers become landholders. *Came after AAA was deemed unconstitutional

Question 24

SEC

Answer 24

Securities and Exchange Commission. Supervised the stock market and eliminated dishonest practices. Benefited people investing in stock. Didn’t benefit dishonest people. Didn’t help people who didn’t invest in stock

Question 25

Wagner Act

Answer 25

AKA National Labor Relations Act: named after Robert Wagner. Ensures the rights of workers, bargain collectively. Benefited workers. Criticism: Employers couldn't spy on employees. Also, unionised workers still around

Question 26

Social Security

Answer 26

Old-age pensions for workers; survivors benefits. Helped old people, victims, mothers and children, blind, physically disabled. Did not cover farm workers. Still around today. Most impactful act today. Inspired by Dr. Francis Townsend, who created the revolving pension plan "Townsend Plan"