From Great Depression 22-2 Reading
1. How did the Great Depression affect minorities?
The Great Depression was particularly hard for the minorities. The minority's unemployment rates were higher, and they received the lowest pay. Minorities also faced racial hate due to the competition against whites to get jobs. Twenty-four African Americans were killed by hanging in 1933. In the southwest whites were urging the government to deport people of Mexican descent.
2. Why did so many men leave their homes during the Depression?
Many men left their homes during the Depression because they were discouraged due to their inability to get a job, and ashamed because they could no longer support their family. These men could no longer support their family, a duty that they were use to. After years of trying to get a job, these men became discouraged and simply gave up, and left their homes out of shame.
3. How did the Great Depression affect women and children?
The Great Depression was trial for both woman and children. The woman, who didn't work, struggled to conserve money for their families. They sewed cloths and canned food. The woman who did work were generally paid less than men. Also, the working woman was seen in increasing resentment as the Depression wore on because, people believed that woman shouldn't have a job when there were so many unemployed men. Often parents didn't have enough money to give their children proper diets and healthcare. Due to this there was a rise in diet-related diseases. Also, due to tax cuts, many schools shut down and others shortened their school year. Many children left their homes on freight trains, looking for a better life.
From Great Depression 22-3 Reading
4. What were some of Hoover’s key convictions about government?
Hoover believed that the government should not, play a big role in rebuilding the United States' economy. Hoover believed that the government should, make peace between competing businesses and the interests of society, and that families should support themselves through their own efforts.
5. Why do you think people blamed Hoover for the nation’s difficulties?
People blamed Hoover for the nation's difficulties because Hoover's policies were not improving the nation's economy. A year after the Great Depression started the economy had not improved. Also, families were angry, and they were ready to blame anyone. Hoover,refusing to provide direct support, was the perfect target for all of the anger and blame the american people.
6. What were some of the projects proposed by Hoover, and how effective were they?
Hoover proposed the Boulder Dam project, the Reconstruction Finance Corporation, and the National Credit Corporation. The Boulder Dam project was the perhaps the greatest success of Hoover. The dam provide electricity, flood control, and a regular water supply. The Reconstruction Finance Corporation would give money to failing businesses; by doing so Hoover hoped that the money would cause higher wages and job growth. However, businesses continued to fail even after $805 million had been given to small businesses. The Reconstruction Finance Corporation was a failure. The National Credit Corporation would loan money to smaller banks. This corporation was a success; it helped small banks avoid bankrupcy.
7. What did the Bonus Army want?
The Bonus Army wanted The Patman Bill to be authorized. The Patman Bill would give World War I veterans $500 of a promised bonus immediately, instead of giving the soldiers their bonus in 1945.
Showing posts with label Hoover. Show all posts
Showing posts with label Hoover. Show all posts
Monday, October 29, 2012
Thursday, October 25, 2012
The Crash Occurs and the Great Depression Begins
1. What industrial weakness signaled a declining economy in the 1920s?
The 1920s are said to have been an age of prosperity for the United States, but underlying the age of prosperity were serious industrial problems. Industries such as steel, textiles, and railroads were hardly making any profits, the mining and lumber industries were no longer in high demand because World War I had ended, agriculture prices dramatically dropped, and fewer houses were being built. All of these industries were major parts of the United States' economy.Their decline pointed to economic trouble for the United States.
2. What did the experience of farmers and consumers at this time suggest about the health of the economy?
The demand that World War I created for agricultural goods quickly declined after the war was over. From 1919-1921 the yearly income for farmers declined by 40%. Because the farmer's incomes were falling, the farmers weren't buying as many goods and services. In fact, most people weren't buying as many goods and services. There was a surplus of goods and services and not enough people to buy them. The falling prices of a staple industry such as agriculture and the surplus of products suggested that an economic crisis was looming in the future for the American people.
3. How did speculation and margin buying cause stock prices to rise?
In the 1920s the stock prices were artificially rising because of speculation and buying on margin. People were hurrying to buy shares without thinking through all of the risks involved. This caused the stock prices to rise because there was a higher demand. Also, people were borrowing money to invest in the stock market. Speculation and margin buying caused the stocks to not be backed with real money, and caused a high demand for the stocks.
4. What happened to ordinary workers during the Great Depression?
Ordinary workers were hit hard by the Great Depression. The unemployment rate went from 3% to 25%. The workers who still had jobs were confronted with pay cuts, and reduced hours. Many workers had lost their saving, either from stock market investments, or failed banks.
5. How did the Great Depression affect the world economy?
Not only did the Great Depression affect the Untied States' economy, but the depression also affected the world economy. Countries already paying off war debts were earning less on the products exported to the United States. Also, the Hawley-Smoot Tarrfif Act inhibited other countries from earning American currency. In return other countries also made high tarrifs. As a result world trade fell by 40%.
The 1920s are said to have been an age of prosperity for the United States, but underlying the age of prosperity were serious industrial problems. Industries such as steel, textiles, and railroads were hardly making any profits, the mining and lumber industries were no longer in high demand because World War I had ended, agriculture prices dramatically dropped, and fewer houses were being built. All of these industries were major parts of the United States' economy.Their decline pointed to economic trouble for the United States.
The demand that World War I created for agricultural goods quickly declined after the war was over. From 1919-1921 the yearly income for farmers declined by 40%. Because the farmer's incomes were falling, the farmers weren't buying as many goods and services. In fact, most people weren't buying as many goods and services. There was a surplus of goods and services and not enough people to buy them. The falling prices of a staple industry such as agriculture and the surplus of products suggested that an economic crisis was looming in the future for the American people.
3. How did speculation and margin buying cause stock prices to rise?
In the 1920s the stock prices were artificially rising because of speculation and buying on margin. People were hurrying to buy shares without thinking through all of the risks involved. This caused the stock prices to rise because there was a higher demand. Also, people were borrowing money to invest in the stock market. Speculation and margin buying caused the stocks to not be backed with real money, and caused a high demand for the stocks.
4. What happened to ordinary workers during the Great Depression?
Ordinary workers were hit hard by the Great Depression. The unemployment rate went from 3% to 25%. The workers who still had jobs were confronted with pay cuts, and reduced hours. Many workers had lost their saving, either from stock market investments, or failed banks.
5. How did the Great Depression affect the world economy?
Not only did the Great Depression affect the Untied States' economy, but the depression also affected the world economy. Countries already paying off war debts were earning less on the products exported to the United States. Also, the Hawley-Smoot Tarrfif Act inhibited other countries from earning American currency. In return other countries also made high tarrifs. As a result world trade fell by 40%.
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