Tuesday, April 1, 2008

Great Depression Notes 02 4/1/08

Human Suffering

Shanty towns

Bread lines

Soup kitchens

Homelessness

Radical minorities suffered the greatest

Farmers in dire straits

Crops weren't worth anything

Dust Bowl

Soil exhausted from over-farming and long drought

Grass is gone, dust starts to blow in the wind

Migrant workers flee dust to California

Dust could pierce clothes, breathing in made people ill

Livestock devastated

Effects on American Families

Family life changed

Family bonds grew stronger

Shared Everything

Poverty/unemployment

Children suffering

Federal gov't did NOT provide direct relief

The New Deal

FDR, Democrat replaces long string of bad Repub. presidents

Program to restore public confidence in the economy

Reform governor of NY, impressed people with reforms

Dems control congress

Americans ready for change

People wait to see what FDR would do in his first 100 days

Recognizes poor economic situation

"Brain Trust"

3 Goals

Immediate relief for the needy

Build economy back up

Financial Reform

Prevent Depression from happening again

First 100 days of office, gov't expands rapidly

Reforms

Bank Holidays

Incentive to spend money

Congress passed the Emergency Banking Relief Act- "healthy banks"

Public confidence restored

Federal Deposit Insurance Corporation

Insures federal banking deposits up 5,000

Protects savings people put in banks

Provided reassurance

Law made companies give more accurate information in this stock offering

SEC (Securities & Exchange Commission) regulate stock markets

End of Prohibition (21st Amendment)

Creates a new industry that can be taxed

FDR

Speaks to American through fireside chats

Creates public confidence

Explained New Deal measures

20th Amendment: Presidents can only serve 2 terms

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