History America Flashcards
Chapter 1 - Economic Downturn & Recovery
What caused the Wall Street Crash to happen?
1. Business was booming in the 1920s -> increasing demand for goods even though half of the USA was poor.
2. Which Lead to an overproduction crises & as confidence dipped people refrained from buying shares.
3. This all led to the October 1929 Crash.
Chapter 1 - Economic Downturn & Recovery
What are some events of the Wall Street Crash?
1. Black Thursday, 24th October 1929 -> 13 Million Shares were sold. ( more than any other day )
2. Banks attempted to inflate share value by buying millions of them, Did Not Work.
3. Mass Panic of shares selling, ultimately leading to the Wall Street Crash
Chapter 1 - Economic Downturn & Recovery
What were some economic consequences of the Wall Street Crash?
1. Share Prices fell until 1932. Lost 80% of their value.
2. By 1933, 5,000 banks has Collapsed ( Bank of New York Collapsed -> 400,000 lost their savings )
3. Borrowing became impossible, no new companies could be started.
4. Sales of goods fell by 80%, No Demand + Investment = Workers Layed off.
5. Unemployment reached 13 Million by 1932 ( Some places reached 30% of work force )
Chapter 1 - Economic Downturn & Recovery
What were some social consequences of the Wall Street Crash?
1. Since many people had borrowed money they couldn’t pay back, There were several suicides.
2. Enourmous loss of confidence in the American way, if the stock-market collapsed, what could be next?
3. Shanty-towwns begam to appear on outskirts of American cities, Called Hoovervilles
Chapter 1 - Economic Downturn & Recovery
What are some ways Hoover attempted to combat the Crisis?
1. 1929 Agricultural Marketing Act
- Intended to help keep farm produce prices high as Hoover bought up any unused stock.
- Backfired as it encourages farmers to overproduce even more.
2. 1930 Hawley-Smoot Tarrif Act
- Set a tarrif on goods imported into the USA, Intended to make foreign goods more expensive than American ones.
- Backfired as other countries responded by taxing American goods sold in their country, Making it more difficult for America to make money.
3. 1932 Emergency Relief Act ( ERA )
- Gave US States ( In Total ) $300 Million in loans to support the unemployed.
- Backfired as few states took advantage of this due to the fear of not being able to repay these loans.
Chapter 1 - Economic Downturn & Recovery
A) Who were the Bonus Marchers?
B) What affect did they have on Hoover’s Reputation
A ( 1932 ) 20,000 Ex-Soldiers From WW1 that had been promised a payment of $500 by an Act of 1924. Due in 1945
- Hoover refused to pay them and used the US army to clear them away.
B) As a result, Hoover was deeply unpopular, which contributed to Roosevelt being elected in the 1932 presidential election.
Chapter 1 - Economic Downturn & Recovery
What gave the foundation for Roosevelt’s New Deal?
The Three R’s
1. Relief - spend money to relieve hunger and get the unemployed back to work.
2. Recovery - support businesses and solve the problems with the banks.
3. Reform - create a welfare system to support people in need as well as make sure banks and businesses did not get into trouble again.
Roosevelt had congress pass laws that would support the 3 R’s.
- Resulting in multiple government agencies that became known as the Alphabet Agencies.
Chapter 1 - Economic Downturn & Recovery
What were some government agencies that were set up due to Roosevelts First New Deal?
1. Emergency Banking Act ( EBA )
- Closed all banks for four days.
- Supported 5,000 banks & promised people they would not lose all their money if banks failed again. ( 2,500 Given Back If So )
- Banks were investigated & re-opened when they had enough funds.
2. Federal Emergency Relief Agency ( FERA )
- Provided $500 Million for food, clothing & housing for the poor.
3. Civilian Conservation Corps ( CCC )
- Men aged 18-25 were offered jobs in the countryside, clearing forests, replanting trees etc. ( Around 2 Million )
- This only helped 8,000 Woman & It didn’t provide permanent work
4. Agricultural Adjustment Act ( AAA )
- Farmers were paid to destroy some crops and livestock to force up prices.
- Farmers earned 1.5x as much in 1936 as they had in 1933.
5. National Recovery Act ( NRA )
- This was set up to improve wages, working hours and conditions.
These Focused on Relief & Recovery
Chapter 1 - Economic Downturn & Recovery
What were some government agencies that were set up due to Roosevelts Second New Deal?
1. Works Progress Administration ( WPA )
- Set up more schemes to create jobs for more work for public building projects including roads, harbours & airports.
2. Social Security Act ( SSA )
- This act provided benefits for the elderly, the disabled and the unemployed, as well as widows and orphans.
Chapter 1 - Economic Downturn & Recovery
What were some Successes of the New Deal?
1. Unemployment had fallen to around 5.6m by 1941
2. Confidence was restored in the Gov.t & their ability to help.
3. The Banking Industry was stabilised
4. 2.5m Jobs were created with the CCC alone
5. Farmers Income roughly doubled in the 1930s
Chapter 1 - Economic Downturn & Recovery
What were some Critiques/Oppositions to the New Deal?
1. The Supreme Court had decided that the NRA exceeded the power of the president & Infringed the rights of the states.
2. Republicans said the New Deal was spending money they did not have ( Deficit Spending )
3. Big Business attacked Roosevelt because he was giving to much power to trade union. In 1937 & 38’ there was a wave of strikes.
4. Huey Long ( Governor of Louisiana ) said there should be more done to share America’s Wealth equally.
Chapter 1 - Economic Downturn & Recovery
What were some Failures of the New Deal?
1. Recovery was only partial. In 1937 industry was still only working at 75% of its 1929 level.
2. Black American gained little imporvement in their civil rights.
3. Women made little progress towards equality. They were still paid less than men for the same work.
4. Many of the schemes that Roosevelt started only lasted for a few months. The CCC provided work for 6~9 months only.
Chapter 2 - Economic impacts of WWII & post-war developments
What impacts/effects did WWII have on American?
1. FDR set up the War Production Board in Jan 1941, which led to the production of $183b worth of supplies. ( Greatly boosting the economy )
- The Lend-Lease Act of 1941 helped this to happen.
2. The Office of War Mobilization was set up to control national prices and wages to prevent them both from becoming too high.
- Production of cars were stopped to produce war material instead.
3. In 1937, the defence industries were responsible for less than 1.5 per cent of the USA’s income, by 1945, this had risen to 50%.
4. The war quickly ended the unemployment crisies from the GD as the demand for industrial products was very high.
- There were 8.1 million unemployed people in the USA in 1940 but only just over 1 million by 1945
5. At the end of the war, US citizens wanted to start spending their money.
- This resulted in booms in car sales and house building. By the end of the 1940s, the USA was making 57% of the world’s steel and 80% of the world’s cars.
Chapter 2 - Economic impacts of WWII & post-war developments
What are some ways US society become more affluent post-WWII?
1. Truman increased the minimuim wage, as well as giving old age benefits to a further 10m Americans.
2. By the start of the 1950s, Americans had spent $100 billion that they had saved up during WWII.
3. As people become more affluent, they began spending more on luxury goods.
- E.g. By 1960, 90% of American homes owned a TV & 75% of homes had a Car.
- Advertising in newspaper & magazines, on TV aswell convinced many Americans to purchase goods.
4. Due to the Consumer Cycle, people felt much happier borrowing money.
- Hire Purchase had also increased by 800% between 1947 & 1957, allowing people to buy more goods than they would normally be able to.
Consumer Cycle - A cycle where as people spend more money, businesses make more money, and pay their workers more. As a result peoples jobs are more secure so they spend more money and the cycle continues.
Hire Purchase - Allows people to buy assests in installments.
Chapter 2 - Economic impacts of WWII & post-war developments
What was Suburanisation?
- This was when in the 1940s & 50’s living areas were being built on the outer edges of town. These were built to attract middle-class families away from town centres.
- As most American families had car’s during this period, they didn’t need to live near where they worked, meaning they could avoid the dangerous city life while raising their children.
Key Fact - Levittown was the first planned suburb, built outside of New York. Each part was made of 27 parts meaning they could be built quickly.
Chapter 2 - Economic impacts of WWII & post-war developments
What were some advantages of living in the Suburbs?
1. Surbubia embodied the ‘American Dream’. Families could bring their children into spacious homes surrounded by neighbours who were just as affluent as them.
2. Reasonably priced Houses & low interests rates on loans.
- Allowed for WWII veterans to get cheap loans and buy themselves a house.
3. These new houses had big driveways, & came with many modern labour saving appliances ( e.g. Frigdes ).
Key Fact - In 1920, only 17% of Americans had lived in the suburbs. By 1960, the number was almost 31%.
Chapter 2 - Economic impacts of WWII & post-war developments
What were some causes of poverty in America? ( 1950s & 60’s )
1. African Americans & other ethnic minorities were
discriminated against, so they were paid a lot less than white Americans.
- In 1955, 40% of the people in New York who were claiming welfare benefits were African Americans.
2. The elderly had little in the way of pensions as they had not had the money to save for one.
- In 1960, almost 68% of people over the age of 65 had an income of less than $1,000 a year.
3. Disabled people found it difficult to get jobs as a result of discrimination and a lack of suitable roles.
- In 1947, 3% of US homes had no running water and 40% didn’t have access to a toilet.
4. In rural communities there were fewer job oppturnities due to mechanisation.
- In Mississippi in 1960, 60% of families were living on less than $2,000 a year.
Chapter 3 - The issue of Civil Right, 1941-70
What was life like before WWII for black Americans? ( 1930s )
1. In southern states in the USA black Americans had their own separate cafes, cinemas, transport and toilets.
2. ‘Jim Crow’ Laws prevented black Americans from voting and enforced separate and unequal schools.
3. ‘Jim Crow’ Laws were state laws that forced, for example, black Americans to pass tests in order to vote. 32 states had segregated schools.
Extra Info - The NAACP was founded in 1909 and tried to raise the issue of their denial of civil rights.
Chapter 3 - The issue of Civil Right, 1941-70
Describe the contributions made by Black Americans during WWII.
1. Initially Black Americans were only allowed into supporting roles - ( e.g. Working in the kitchens, or carrying messages )
- This later changed due to the increasing amounts of wounded white soldiers.
2. By 1945, almost 750,000 black Americans were serving in the armed forces.
3. The 761st Tank Battalion was a predominantly black unit and became known as the Black Panthers ( Not the same as the 1960s Black Panthers )
- There were also Black Squadrons of fighter pilots, a famous one being Tuskegee Airmen.
Jim Crow Army ~ US armed forces were segregated into units, these were known as the Jim Crow Army.
Chapter 3 - The issue of Civil Right, 1941-70
What are some impacts the war had on Black Americans Civil Rights?
1. Due to discrimination during the war, by 1946 the NAACP had risen from 50,000 to around 450,000.
2. The number of black Americans working from the Gov.T rose from 50k to 200k & roughly 2M Americans were in the war industry.
- These were jobs that they would have not had Pre-WWII
3. In 1942 CORE was set up & black nespapers set up the Double V campaign. Victory over Hitler & Victory in the struggle for equality.
4. There were only 12 Black officers in US Army at the start of WWII, By the end they were appointed in all 3 services.
- The Air Force began to train black pilots, 600 in Total.
In 1941 FDR issued Executive Order 8802, which banned discrimnation agaisnt black Americans in the workforce. ( Also set up the FEPC to ensure these were carried out. )
Chapter 3 - The issue of Civil Right, 1941-70
Describe the Brown v Topeka Case & what significance it had in the fight for Civil Rights.
- In 1951, Linda Brown’s parents asked for her to be moved to school closer to where she lived, she was denied due to her race.
- Linda’s parents requested the help of the NAACP for their court case that went all the way to the Supreme Court.
- Oliver Brown won his case, leading to the 1954 ruling by the supreme Court ‘Seperate but equal is inherently unconsititutial’
Chapter 3 - The issue of Civil Right, 1941-70
Describe the events of Little Rock High.
1. In 1957, 9 Black students tried to attend Little Rock Highschool.
- This was arranged by the NAACP & was only able to be done due to the Brown V Topeka case in 1954.
2. Governer Orval Faubus ordered state troopers to prevent them for going to the school.
- When they did turn up they faced an angry mob and were escorted home.
3. President Eisenhower tried to persuade Governer Faubus & allow the students to attend the school
- Eisenhower sent in 1,200 troops to aid the students & were finally able to attend the school.
- Even after LRH, By 1963 there were only 30,000/2,900,000 children at mixed school in the South.
- In 1957, Eisenhower introduced the first Civil Rights Act since 1875, prosecuting anyone who tried to deny American Citizens their rights.