THE GREAT DEPRESSION AND NEW DEAL, 1929-1939

HIST 202 - HESEN

Causes of the Great Depression Black Thursday

October 24, 1929 Stock fells sharply

Black Tuesday October 29, 1929 Stock market

crashed

Long-term Causes of the Great Depression

Uneven distribution of income

Stock market speculation

Excessive use of credit

Overproduction of consumer goods

Long-term Causes of the Great Depression

Weak farm economy

High tariffs

Global economic problems

Effects Effects on Business

$104 billion to $54 billion in four years

Incomes declined 50%

20% of banks closed 25 million people

unemployed (20-25%)

Hoover’s Policies “Rugged

individualism” Hawley-Smoot

Tariff 1930 Set a higher tariff Europeans raised

tariffs on American goods

Debt moratorium Placed hold on all

foreign debts

Domestic Programs – Too Little, Too Late Federal Farm Board

Helped to stabilize farm prices

Farmers continued to over produce crops

Reconstruction Finance Corporation Promise to aid

businesses Stabilize steel, oil,

and RRs

“Hooverisms” “Hoovervilles”

“Hoover Blankets”

“Hoover Flags”

Bonus Army 1932 – WWI

veterans Marched on

Washington, DC Wanted WWI

bonuses - $500-$1000

Hoover wanted to give bonuses

Congress declined Marchers protested

The Election of 1932

FDR Hoover

FDR & The New Deal FDR: The Man

Teddy – 5th cousin Grew up in Hyde

Park, NY Harvard/Columbia

Law School Married Eleanor Stuck with polio at

39 Focus was on BIG

GOVT.

New Deal Philosophy The Three Rs

Recovery Relief Reform

The Brains Trust Rexford Tugwell Adolph Berle Raymond Moley

The Hundred Days Bank Holiday

Closed the banks Ceased the run on banks Allowed banks to hold cash

Fireside Chats – March 12, 1933

Repeal of Prohibition 1933 21st Amendment

Financial Relief Programs Emergency Banking

Relief Act Gave relief to banks Provided billions to banks

to get back on feet again

Federal Deposit Insurance Corporation Ensured money in the

banks Acted as an insurance

policy up to $100,000

Unemployment Relief Public Works

Administration Bridges, Road, Tunnels,

Sewers Civilian Conservation

Corps Put men 17-25 to work Military style

Tennessee Valley Authority Constructed hydro-electric

dams in the Tennessee Valley

Industrial and Farm Relief Agricultural

Adjustment Administration Aided farmers with

surplus Plowed under every

other row of crops

Second New Deal Focused more on

relief and reform Works Progress

Administration National Labor

Relations Act Social Security Act

Opponents of the New Deal Huey Long

Share Our Wealth

Father Charles Coughlin New Deal is too radical

Dr. Francis Townsend Look after the old folks

Supreme Court New Deal unconstitutional

Supreme Court Packing Plan

FDR and the Supreme Court Wanted to appoint

Justices Decided to add 1

Justice for each over 70.5 years old

Change from 9 Justices to 15

Harsh reaction

Life During the Great Depression

Men, Women, Children

Dust Bowl

Popular Culture