USA 1919-1941 Flashcards
• The USA in the aftermath of World War I and politics in the 1920s:
Survey
- Consequences of World War I for the USA
Isolationism
Conservatism
Big business had been allowed to do what they like
Better opportunities for African Americans
o Migration from South to North in search of work
Anti-Black Sentiment
o ‘Birth of a Nation’
o KKK
Anti-German and anti-foreigner sentiment
o Anti-immigration laws
Anti-democratic tensions Changing status of women Triumph of the temperance movement o Prohibition o Crime
Death blow to the progressive movement
o Rejection of League of Nations
Cost of the war
o 116,000 casualties and $22.6 billion
• The USA in the aftermath of World War I and politics in the 1920s:
- Republican economic policies
Warren G. Harding
negative legacy from Harding
wasn’t up to the office of president
essence of a ‘nice guy’ unable to say no
won election to the Senate in 1914 and was generally inconspicuous
Harding didn’t know what to do economically, died with debts of $180 000
hadn’t appointed many capable ministers (Ohio Gang)
however, did appoint Hughes and Hoover who were very capable
Calvin Coolidge
would have known about economic problems, analysts were telling him but put responsibility on the states
continued the unchecked growth of the stock market
• The USA in the aftermath of World War I and politics in the 1920s:
- Long-term causes of the Great Depression
During the 1920s the American stock market was steadily rising. Speculators could buy shares in a growth company to sell them again a few weeks or months later in order to pocket an easy gain.
From the mid-1920s many speculators bought shares ‘on the margin’. This meant borrowing money from the banks to fund the share purchase. The loan was repaid when the shares were sold.
Banks were prepared to lend up to 90% of the share price. This seemed to be fine as long as the value of shares continued to rise – although it did lead to many shares being over-valued as people lost sight of the original purpose of shares and competed to buy into what seemed to be an ever-rising market.
When the market fell it could leave speculators and even banks themselves bankrupt
By 1929 US industry was producing more consumer goods than there were consumers to buy these goods. The market had become saturated as the Americans who could afford to do so had generally bought their cars, fridges and other domestic appliances.
America had limited opportunities to sell abroad. Potential European customers were impoverished and had not financially recovered from WW1. American tariffs also led to other countries putting tariffs on American goods making it difficult for American exporters to operate in foreign markets.
50-60% of Americans were too poor to take part in the consumer boom. Low wages and unemployment, especially in the farming sector, the traditional industries and among blacks and new immigrants reduced the potential of the home market. Just 5% of the population was receiving 33% of the income in 1929.
There were signs that the boom was coming to an end long before October 1929. By 1927 fewer new houses were being built, sales of cars were beginning to decline and wage increases were levelling off.
Financial experts were aware that stock levels in warehouses were beginning to increase, suggesting the economy was slowing down. This made investors nervous and anxious to sell their shares. The stock market began to lose value from early September 1929.
• The USA in the aftermath of World War I and politics in the 1920s:
- Reactions to the Great Crash of 1929
Losses on Wall Street caused many individuals and some banks to go bankrupt.
As loss of confidence set in there was a further fall in demand, loans were recalled, new loans weren’t made, businesses closed, and a vicious cycle set in whereby more people becoming unemployed or having their wages reduced led to ever greater reductions in demand as fewer people could afford goods.
The Wall Street Crash was not the primary cause of the Great Depression, but it certainly contributed to it.
America was the largest capitalist economy in the world and when it went into recession the other major capitalist economies were dragged down too. This was because Americans could no longer afford to buy foreign goods and US lenders recalled their overseas loans.
The rising unemployment in Europe and Japan also further reduced demand for US goods so made unemployment in the US worse.
• The Great Depression and its impact, including:
Focus
- Effects of the Depression on different groups in society: workers, women, farmers, African Americans
Social Consequences
Lack of education
Broken families
Suicide
Morale
Farms/lack of produce
Decrease in consumerism
Racism
Starvation/malnutrition
Hooverville/hoover blankets
Rise in crime
Loss of homes
Protests
Businesses closed
Hygiene
Unemployment
Loss of life savings
Cities going bankrupt
Soup kitchens
Widened class gap further
Trade stopped
Migration out
Movies/music escape
Alcohol
Workers
Family was placed under great stress
Collapse of morale
People lost their homes
Creation of shanty towns
As competition for jobs increased, even those in work suffered. Employers reduced wages and increased hours. Some governments employees, for example teachers, were not paid when city councils, for example in Chicago, went bankrupt
1931 100 died directly of starvation in New York
One third of children in New York were malnourished
Homelessness soared- by 1932 over 250,000 people could not pay their mortgages
Those who fell behind with their mortgages or their rent were evicted
Most ended up either on the streets sleeping on park benched or living in Hooverville
Hobos travelling around America
Reliance on charity and relief schemes escalated
Angry protests
1929 unemployment was 3.2%, 1933 it rose to 24.9% and 26.7% in 1934
More than a quarter of the workforce was jobless
Malnutrition and starvation
Originally hit workers in the old industries, for example coal mining, textiles, railroads and shipbuilding
By 1929 it also affected workers in the consumer industries
No social security system
1930 there were 6,000 men on the streets of New York trying to survive by selling apples
More or less collapsed overnight. Construction fell from $8.7 billion to $1.4 billion between 1929 and 1932
By 1932 US manufacturing had declined by around 77%
Soup kitchens began to pop up I towns and cities with massive lines
Middle class lost their savings and position in society
Working class and those below the poverty line were hit even harder
Veterans protesting due to poverty. Owed bonus cash
Veterans march to Washington in 1932 and May 1933 as a second ‘bonus Army’
Women
Had to support their family
Wages were less than men
Found it easier to get jobs as clerks
Kept jobs like cleaning and waitressing
Maintained household
Women with clerical and teaching jobs fared better than many men in the manufacturing industry Family breakdowns increased due to men on the road
Farmers
Revenue for agricultural production halved
Couldn’t afford basic items
Farmers declared bankruptcy
Rural banks closed
Dust bowl- couldn’t grow crops
Thousands of families left for California
Crop prices dropped dramatically
Gross income fell from $12 Billion in 1929 to $5 billion in 1932
Banks stopped lending money for farms
Many went under
Missed out on the economic boom in the 1920s
Their income was very low due to overproduction and under consumption of their produce
Impact of prohibition had reduced demand for arable crops
Fewer markets abroad for their goods because of the tariff war
Many were in massive debt and large numbers of farmers who could not repay their mortgages became homeless
Left crops to rot in fields
40% of farms were mortgaged to banks
Agriculture continued to decline under Hoover
Prices so low farmers could not afford to harvest crops
Many became hobos
Many from the south moved to California
African American First to lose jobs Established shanty towns Increase in racism There was to be no ‘American Dream’ Unemployment was twice that of whites Revival of KKK in the deep south contributed to social tensions Klan activists incited violence towards black people with lynching
• The Great Depression and its impact, including:
- Attempts to halt the Depression: the Hoover Presidency, the FDR years
Hover did little to halt the Depression
Put to onuses on state and local governments
Named in a depression rather than a crisis in an attempt to avoid mass hysteria
In an attempt to halt the depression FDR:
o Closed banks for four days and only let those that were secure reopen. He supplied government guarantees to bank deposit amounts over $5000. This provided bank customers with confidence in the system and stopped the rush on the banks to withdraw their funds.
o Removed America from the Gold Standard which allowed the government to produce more money
o He ended prohibition by repealing the Volstead Act
o Alphabet agencies- the New Deal
• The Great Depression and its impact, including:
- Assessment of the New Deal
Basil Rauch-1944
First new deal was primarily conservative and aimed simply at recovery rather than reform
Second new deal was more radical and gave the rise to progressive measures
Rexford Tugwell and Arthur M. Schlesinger
First new deal was radical- radical nature of the early period was evident in a commitment to national planning
Second new deal was more traditional, more conservative, and increasingly pro-business
David Kennedy
They should distinguish between features of the new deal in terms of legacy
What piece of legislation had a lasting effect
First new deal addresses the immediate economic crisis
Second new deal includes all of the enduring changes that came out of the reforms from 1933 onward
Richard Kirkrendall
Made significant changes
Helped defend the two-party system
In providing moderate change, helped prevent more radical change such as a revolution
Communist and socialist parties had increasing membership
Saw the new deal as continuing an American tradition of pragmatism
FDR victory as a triumph for centrism
Benjamin Stolberg and Warren Vinton
New deal did not go far enough
Failed to alter basic injustices
Limitations of social security
Lack of concern for the black population
Inadequate unemployment relief programs
James MacGregor Burns and Paul Conkin
New deal benefited the wealthy and those with vests interests
Helped farmers and the middle class
Did not lead to fundamental change
Opposition to the New Deal
Business
Opposed to ending the laissez faire capitalism and the increase in state intervention
Thought Roosevelt had ‘socialistic’ tendances
Political opposition
Opponents on both the left and right of politics found support amongst those dissatisfied with the peace of recovery. Huey P Long who was the governor of Louisiana ran the place like a personal kingdom. He was assassinated in 1935
Social and economic conservatives
Conservative groups such as the American liberty league, founded in 1934, attacked the New Deal as a threat to state’s rights
Cranks
These included a radio broadcasting roman catholic priest, Father Coughlin, who blamed international bankers for the depression. His speeches started to become quite anti-Semitic and nationalistic
Legal attacks
Employers challenged the new deal in the US supreme court. It declared that certain new deal laws were unconstitutional
Retrospective criticism
Revisionist historians in the 1950’s and 1960’s said the new deal prevented significant reform
• US society 1919-1941, including:
- implications of growing urbanisation and industrialisation
Foreign immigrants moved to USA
Internal migration- African Americans from the South to the North
Movement from rural communities to bigger cites
By the end on the First World War, the USA was the leading economic power in the world. It had a strong farming economy, although this sector was suffering with very low prices in the 1920s, but its great strength was its industrial might. This had important social consequences for America. As the farming industry became more mechanical and as the price of farming products dropped, farmers went bankrupt and there was a strong movement of people to the cities.
Whilst the movement had already been seen previously, the 1920’s and 1930’s saw a dramatic increase. Combining this with high levels of immigration meant that the cities swelled and began feeling the pressure
New industries such as the automobile and rubber industries grew and took in these new people. Mass production and mass consumption were born and new products such as refrigerators and the wireless only maintained the rapid grow of industry.
Slums were evident around the cities, and these became much worse in the 1930s with the great depression. Crime and poverty began to thrive
Ethnic groups stayed close together for security and as a result cities developed ethnic ghettos e.g., the Irish and Italian sections of New York and Boston. Racial and cultural problems were highlighted and became even worse.
• US society 1919-1941, including:
- mobilisation of the military and war production
Pearl harbour 1941
US business played key role in mobilising US economy
US production alone exceeded the combined production of the axis powers of Germany, Italy and Japan
Production boosted economy and enabled millions to return to work
By 1930 most American homes had electricity
Boom of mass consumption
Fear of offering aid to Britain could lead to USA becoming a part of the war in Europe
• US society 1919-1941, including:
- growth and influence of consumerism including entertainment
1921-29-hundred-fold increase in national income
prosperity was not universal, farming communities struggling as well as the textile industry electric power generation and the boom in electric consumer appliances
expenditures on radios rose from just $10.5 million in 1920 to $411 million in 1929
Americanisation of immigrant communities
Mail-order catalogues
Personal transport now affordable (ford)
Industrial output doubled in the USA between 1921 and 1929
Bobbed hair and short and shapeless dresses became the new fashion
Contraception gave women control over reproduction
More people had leisure time and money to spend on entertainment
Made ideals out of Hollywood stars
Sports became big business
Silent movies
Introduction of talkies
• US society 1919-1941, including:
- social tensions, including immigration restrictions, religious fundamentalism, Prohibition, crime, racial conflict, anti-communism, and anti-unionism
Immigration Restrictions
Italians were stereotypically viewed as having links to the mafia
Due to racial tensions, approximately 60% of Hungarian immigrants and 50% of Italian immigrants went back to their homelands during 1899-1924
The great depression was a slow period for immigration
Rise in ‘nativism’ due to KKK revival
Sacco and Vanzetti case spiked protest over poor treatment of immigrants/anarchists
Religious Fundamentalism
During the 1920’s and 30’s an extreme form of Christian theology took hold in the South and became racist, anti-Semitic, and more militant toward the end of World War II
Rise of the KKK
Influenced Prohibition and immigration restrictions
Prohibition
The prohibition era of the 1920s saw the 18th Amendment to the U.S. Constitution banning the transportation, manufacture, and sale of alcoholic beverages. Alcohol abuse had become an increasing problem for the American people after World War 1. Thus, the temperance movement was created, consisting mainly of the wives and mothers of alcohol abusers as well as members of evangelical protestant churches who viewed alcohol as the root of all Americans problem. This was further intensified by the agitation of anti-immigrant and anti-Roman Catholic groups consisting of many in the Protestant middle class. Prohibition also had the support from employers who viewed drunkenness as the cause of industrial accidents and inefficiency. Supporters of the Prohibition hoped that in the absence of licensed saloons, the churches would have a chance to persuade the American people to give up drinking. The Volstead Act 1919 was passed on the 29th of January 1919 and came into effect one year later.
With the Volstead Act now in place drinking was driven underground, especially in the big cities. As an illegal drug the price of alcohol rose exponentially, which effectively made drinking a middle and upper-class pastime. Drinking levels soon fell to about 30% of the pre-1920 level but began to rise during the later years of Prohibition. While Prohibition intended to drive the ethnic minorities into Anglo-Saxon conformity, but Prohibition instead allowed them to consolidate their position in organised crime, and the Anglo-Saxons emerged as the major customers of the bootleggers.
Crime
Gangsters
John Dillinger
Bonnie and Clyde
Machine Gun Kelly
‘Pretty Boy’ Floyd
Bootlegging became a massive underground business
A rise in speakeasies especially in big cites
Moonshine
Crime was often a response to the GD and lack of employment
Emergence of Robin Hood Heroes burning bank statements and home loans
FBI- Hoover
Government backlash
Racial Conflict
increase because they thought immigrants and people of colour were taking white jobs
resurgence of the KKK
birth of a nation film
migration of African Americans from south to north
Jim crow laws
Segregation
Anti-Communism
1919-1920 communism spread through Europe
Social party and social politicians were held suspect because they were seen as closely linked to communism
6000 suspected revolutionists held and convicted without trial
red scare died quickly but lived on in the form of Anti-Unionism
anti-liberal equals anti-American
significant rise in workers right movement
collapse of post-war rural prosperity
Anti-Unionism
Boston Police strike 1919, 75% of police force boycotted work when denied right to a union
They were nicknamed the ‘agents of Lenin’
The strike caused an increase in crime, riots and looting
The Wobblies formed in 1905 by several unions fighting for better conditions in mining industry
Espionage Act (1917) and Sedition Act (1917) protected Wobblies and socialists
Unions equals communism in republican Americans eyes
• US foreign policy, including:
- the nature, aims and strategies of US foreign policy 1919–1941
Americas approach to Europe
America had strong economic involvement with Europe
Provided millions in loans
Was keen to take advantage of European markets and therefore needed to restore the power of European countries to spend and buy American goods
American business invested $3 billion in Germany in the 1920s
Tried to ignore the communist Soviet Union even though they sold millions of dollars’ worth of industrial equipment to them
Officially recognised Soviet Union in 1933 under Roosevelt
Outbreak of war in 1939 American position to support Britain and France
The Lend Lease Act provided aid the Britain
America’s approach to central and south America
Used military force to intervene in affairs of southern neighbours
Twin aims were security and trade
1920s polices softened
Withdrawn from Dominican Republic
After depression, less eager to risk investment or exploitation capital
Hoover improved relations
Roosevelt ‘good neighbour policy’
More tactful and diplomatic strategies
Cooperation ad diplomacy had replaced force as the prime instrument of American foreign policy with its nearest neighbours
America’s approach to Asia
Expansionist polices of Japan
1921 Washington Conference try to ease tensions
• US foreign policy, including:
- impact of domestic pressures on the USA 1919–1941
isolationism
rise in anti-foreigners and anti-communist
‘Red scare’
1941 attack on Pearl Harbour by Japan turned consumer society into a military machine