Fichas
8 History-Consequences of the Wall Street Crash (Depression)
Fichas del conjunto (14)
- 1How did the depression effect businesses and production?Between 1929 and 1933 over 100,000 firms went 'bust'.
Production levels fell. - 2How did the depression effect shares and the banks?From 1929-1933 shares lost 80% of their value.
In 1929, 700 banks collapsed. - 3How did the depression effect farmers?Average farm incomes fell by 60% between 1929 and 1933 and many 'sold up' because of lack of demand. Many farmers were evicted.
- 4How did the depression effect employment?Unemployment rose rapidly- 8 mil unemployed by 1931, 12 mil by 1932 and 14 mil by 1933 (nearly 25% unemployment rate).
- 5How did the depression effect wages?Wage levels of those in work fell by 20% on average.
- 6How did the depression effect people's lives?All classes were hurt by the depression.
Many unemployed couldn't afford rent or mortgage so had to live in Hoovervilles (camps on the edge of cities with shelters to live in).
Many became hobo's who travelled around looking for work and some begged.
Some people relied on soup kitchens and relief programmes (long lines were commonly seen in all US towns and cities). - 7What effect did the 'Dustbowls' have?People living in mid-western states were devastated by droughts and strong winds which led to 'Dustbowls' and soil was infertile. This created poor living conditions.
- 8What did people in the US say about President Hoover?Hoover was blamed by many for the depression.
At the start he insisted the problem was only temporary and "prosperity is only around the corner".
He was known as the "do nothing" president.
"In hoover we trusted and now we are busted" (farmers).
It is unfair to say Hoover did nothing because he did more than the previous president. - 9What did Hoover do to try and get the US out of the depression?He held conferences with business leaders to encourage them to increase production and employment.
$4,000 mil was made available for industry.
In 1931, work started for the Hoover dam in Colorado which created many jobs.
In 1932 $300 mil was given to states to help unemployed. - 10What were people's responses to the things Hoover did?"Too little too late".
Hoover clung onto beliefs of "Rugged individualism" and that the economy would recover by itself.
Most Republican politicians didn't want the government to spend their way out of the depression. - 11Who were the Bonus Marchers and what happened?In 1932, when the Bonus Marchers went to the White House it destroyed public faith in Hoover.
Veterans from ww1 were being paid an annual pension and was promised a bonus in 1945 but demanded immediate payment because of the depression.
20,000 Bonus Marchers camped outside the White House.
The US congress wouldn't pay the bonus but the protesters refused to move so Hoover called in the army.
Tanks, infantry and tear gas were used to destroy the camp.
Nearly 1000 veterans were inured and 2 babies died because of the tear gas. - 12How did the unpopularity of Hoover lead to the election of FDR (Franklin Delan Roosevelt)?Hoover became increasingly unpopular after the Bonus Marchers and the economic circumstances gave him little chance to win the 1932 election.
- 13Background of FDRHe was the democratic party candidate.
He was from a wealthy background but suffered polio in 1921. His determined recovery from the illness impressed Americans.
He took many positive actions to reduce effects of the depression in New York.
He gained a reputation for energy and action, and was also an excellent pubic speaker and understood the power of the media.
He promised schemes to reduce unemployment and promised to end prohibition.
This led to his victory in 1932, 42/48 states voted for Roosevelt. - 14What were Roosevelt's 3 main aims?Relief, Recovery, Reform.