Causes of the Great Depression and the Great Depression (Chapter 22)

1. Causes of the Great Depression and the Great Depression (Chapter 22)

2. Standard of Living -”Business of America is ____________” –Calvin Coolidge -effects of the automobile ___________to travel -urban sprawl -airlines develop -electricity lights the whole nation alternating current (Tesla) -growth of the _______ industry

3. Prosperity -growth of ___________ industry -productivity increases -buying on the ______________increases consumption -Ford and Prosperity -_______________production -workers as consumers -$5 day plan

4. “Return to Normalcy” • ____________________________(Republican) wins 1920 election • Conservative Post-War Era

5. Political Developments • “_________________________”: Warren Harding • First election (1920) where women had the right to vote ______ Amendment!! • Harding and Coolidge win by landslide

7. Normalcy in Government -1920 election of Warren G. Harding and the simpler days before the war -Isolationist Policies -________________ Conferences proposed disarmament -________________ Treaty, 1929 outlawed war -New high ______ returned U.S. to isolationist position; hurt farmers -______________ policies -discriminatory quota system established -National Origins Act, 1921

8. Laissez Faire • “_______________” • Gov’t should leave business alone

9. Harding and Coolidge -Prosperity returns to the United States -Harding made some good and bad appointment choices Herbert Hoover ___________ -Teapot Dome Scandal gov’t owned oil rich lands leased out to private oil companies for far less than their value -Harding and administration are embarrassed -Harding dies in Office and Calvin Coolidge replaces him and wins re-election “Keep cool with Coolidge” – “Do Nothing Cal”

10. Harding and Coolidge -Prosperity returns to the United States -Harding made some good and bad appointment choices Herbert Hoover Ohio Gang -___________ Dome Scandal gov’t owned oil rich lands leased out to private oil companies for far less than their value -Harding and administration are embarrassed -Harding _______ in Office and Calvin Coolidge replaces him and wins re-election “Keep Cool with Coolidge” – “Do Nothing Cal”

11. Teapot Dome Scandal • Albert B. Fall: Sec. of Interior • Convicted of Bribery • Leased Gov’t Oil Lands to make $$$$

12. Harding • Sought to ______ taxes for the wealthy • ______________ Tax Plan • Reduce gov’t spending to protect American Industry • Harding never wanted to be president • Died three years into term, avoiding congressional investigations into the Teapot Dome Scandal • _____________convicted and sent to prison for bribery • Close friend Jesse Smith committed Suicide

13. Harding and Coolidge -Prosperity returns to the United States -Harding made some good and bad appointment choices Herbert Hoover Ohio Gang -Teapot Dome Scandal gov’t owned oil rich lands leased out to private oil companies for far less than their value -Harding and administration are embarrassed -Harding dies in Office and Calvin Coolidge replaces him and wins re-election “_________________” – “Do Nothing Cal”

14. Calvin Coolidge • Former gov. of Mass. • ________________policies • Supported Big ____________ • Business of America is Business • Little Support for ___________ • Vetoed the McNary-Haugen Bill that would have provided for gov’t___________ of crops

15. Election of 1928 -________________ “Two cars in every garage” -20’s marked a reign of prosperity -Hoover predicts the end of poverty

16. Stock Market Crash -Warning Signs -____________ -Buying on __________ -Stock prices were __________ -Oct 1929 prices begin to fall -Oct 29, 1929 _____________Great Crash

17. Causes of Depression -_________________ of goods -Too much available _________ -less consumption of goods -farm _______/WWI -high ____________ -no banking _________________ -______________________, 1930 -everything became a chain reaction

18. Hawley-Smoot Tariff, 1930 • Raised U.S. tariffs on over 20,000 imported goods to record levels • Led to Great Depression

19. Speculation • Buying stocks (low) with the hopes of selling the for a ________ (high)

20. Buying on Margin • Buying stocks with __________________ money • Dangerous • If stocks lose value then you ________ everything!

21. Easy CreditInstallment Plan • “Buy now pay later” • ___________ factor in Great Depression

22. Overproduction • US factories producing more than we can ______________ or purchase

23. “Black Tuesday” • Oct. 29, 1929 • __________________ • Beginning of Great Depression • Causes • Overproduction • Underconsumption • Buying on Margin • Unequal distribution of wealth

24. Hard Times Hit Home -Rural areas ________________ of farms, food supply, Dust Bowl -Cities shantytowns, soup kitchens, breadlines -Family Life men on the move, hardships of women, health of children, -Social effects more suicide, mental illness, dreams forsaken, ethics, hardwork

25. Hoover’s Resolve -Rugged Individualism -created gov’t _________ to help business recover -gave no __________________to the people -”Two families in every garage” -______________________ -____________March on Washington; baby dies from tear gas

26. Direct Relief • Providing aid to families who had lost their homes and jobs • 25% unemployment • Pres. Hoover __________ Direct Relief • Said: people should be “____________ individuals”

27. Hoovervilles • “Shantytowns” • _________________ living in boxes or cars • Situation blamed on Pres. Hoover

28. Soup Kitchens/Breadlines • Form of _____________ • Feeding the poor and unemployed

29. Election of 1932 -______________________ governor of NY -Pledged a _____________for the people Help for the common man -Democrats wins great majority in Congress -Hoover remain a lame duckfor several months -Banking system was in a crisis