Download grt dep begins2017

Happy break!
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Last minute submissions for quarter 3?
The “crash”- 5 minute video
What were the causes of the Great
Depression? (part 1)
“cycle of disaster” (back of sheet)
Document activity/ graphic organizer in
pairs or alone…. To turn in- 10 points
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for full credit, be specific
Finished? Do back (if not done, will have
to be done when return….)
UNIT 12- The Great Depression
and the New Deal
April 25
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GO OVER:
DOCUMENT ACTIVITY (FRIDAY):
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VIDEO:
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What were the causes of the Great
Depression? (part 1)
“cycle of disaster” (back of sheet)
Go over first side
HOOVER…. ELECTION OF 1932
BTW
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Documents are “lumped” together
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(A/B; C/D; E/F…..)
Full credit- be specific
Unequal Distribution of Wealth:
Why is this a problem?
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1920s- rich got richer ; poor got poorer
70% of nation below $2,500
207
Overproduction- Factories and
Farms
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1- Overproduction
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Farm goods- surplus, prices drop, can’t get
out of debt
Manufactured goods- Americans buying less
Orders slow; factories lay off workers
Consumer debt
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Consumer goods bought on credit
throughout 1920s (living beyond means)
growing debt- people cut back on
spending
Stock Market speculation
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speculation- trying for quick profit;
ignoring risks
Buying on margin- pay a small
percentage of a stock’s price & borrow the
rest from a bank
Stock Market Crash- Onset of
Great Depression
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“Black Tuesday”- October 29, 1929
$30 Billion in “wealth” disappears
businsess
faliures
Bank
failures
A cycle
of
disaster
unemploym
ent
Cycle of disaster
consumer income
and spending
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How are these connected?
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Banks fail---
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Businesses fail-
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Unemployment up—
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Consumer spending/ income down--
New York Stock Exchange, Black
Tuesday (October 1929):
Bank Failures
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“Bank runs”- people panic- run to get $$
out of banks
Banks had lost $$ in stock market
11,000 banks close- people lose all their
savings
https://www.youtube.com/watch?v=EOzMdEwYmDU
Bonus Army…
Business failures/ production
PLUMMETS
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90,000 businesses went bankrupt
“GDP” (national production) cut in half
from 1929- 1933
MASSIVE unemployment
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13,000,000 unemployed by 1933 (25%)
Those with jobs- pay cuts, fewer hours…
“Hardship and Suffering”
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Cities: 1000s evicted from homes- live in
shantytowns (“Hoovervilles”)
“Hardship and Suffering”
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Cities…- soup kitchens/ breadlines
“Hardship and Suffering”
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Rural areas: At least they could eat
1000s of farmers lose land through
foreclosure
“Hardship and Suffering”
Dust Bowl- Drought hits in early 1934destroys overfarmed land
 “Okies”- 1000s of farmers
pack up and head to CA
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Life in Depression
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Hunger
Homelessness
“hobos” on freight trains…
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According to his belief in the “rugged
individualism” of Americans described
above, why did Hoover believe that the
federal government should not directly
help the needy during the Depression?
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“Economic depression cannot be cured by
legislative action or executive
pronouncement. Economic wounds must
be healed by the action of the cells of the
economic body - the producers and
consumers themselves.”
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“It is just as important that business keep
out of government as that government
keep out of business.”
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“Every time we find solutions outside of
government, we have not only
strengthened our character, but we have
preserved our sense of real government.”
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“Prosperity cannot be restored by raids
upon the public Treasury.”
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According to Hoover’s philosophy and quotes…….
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Should the government play an important role in the economy?
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How will the economy recover if the government does nothing?
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1-10; Why?
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Election of 1932
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"I pledge you, I pledge myself, to
a new deal for the American
people."
-FDR, accepting the Democratic
nomination for the 1932 election