Download Chapter 26 - Delano Public Schools

Chapter 26
Great Depression
& New Deal
Stock Market Crash
• Many people were investing, hoping to
make $ on the stock exchange
• They would borrow money to buy stock
• People began to worry and sold their
stock, dropping prices, plummeting on
“Black Thursday” Oct 24, 1929
Depression
• 1,000s of banks closed
• Raised tariffs on goods from other
countries, hurt those countries
• Unemployment was at 20%
President Hoover
• Homeless lived in “Hoovervilles” mocking
him
• Hoover did little to help, then created
public works projects the public could
use
• WWI vets were promised a bonus in ‘45
but wanted it now, protested
New Deal
• Franklin Delano Roosevelt crushes Hoover in
the 1932 election (472-59)
• Didn’t let paralysis from polio keep him down
• Told US to trust banks in one of many “Fireside
Chats”
• Civilian Conservation Corps(CCC)-parks
• Agricultural Adjustment Act(AAA)-subsidies
(payments to farmers)
New Deal
• TN Valley Authority(TVA) built dams along
rivers to generate electricity
• Public Works Administration (PWA)-hired
people to rebuild US
• Federal Deposit Insurance Corp (FDIC)
protected $ in banks
Hard Times
• Bad drought in the southern plains known as
the Dust Bowl ruined farmers
• Many became migrant workers in CA
• “Okies” from OK were not wanted
• Grapes of Wrath by John Steinbeck :
https://youtu.be/xqaTv8cCWeg
Changes
• Afr Am formed Nat’l Association for the
Advancement of Colored People (NAACP)
• Were appointed to FDRs “Black Cabinet”
• Europe saw the rise of Fascism: state is more
important than individual & favored
dictatorships
• Radio & movies become very popular
Critics of New Deal
• Businesses didn’t like New Deal
• Detroit priest Fr Charles Coughlin wanted
high taxes on wealthy
• CA Dr Francis Townsend wanted monthly
pension (payment) for retired people
2nd New Deal
• 1/5 workers still unemployed in 1935
• Works Progress Administration (WPA) built
airports, public buildings, bridges, roads
• WPA gave jobs to writers, painters, musicians
• Social Security Act in 1935 taxed workers to be
repaid when retired, unemployment insurance
Unions Grow
• Gen Motors plant used sit-down strikes
• American Federation of Labor (AFL)
represented skilled workers of specific craft
• John L Lewis started Congress of Industrial
Organizations (CIO) to organize all workers
• 1935 Nat’l Labor Relations Act gives workers
right to form unions (Wagner Act)