The Great Depression is the period from 1929 to 1940 in where economy plummeted and unemployment skyrocketed. Not only did the crash cause the depression but it also made it sort of severe. Many people withdrew their money from banks, others weren't even able to get any out of the bank. The Great Depression also hit businesses and companies as well.
Events
Causes of the Great Depression
Some Americans stayed strong during the 1920's but as the number grew, it helped weakening the economy. Many United States citizens never wanted to be in the boom. Some were rich, some were poor but the coal mining industry grew and created jobs. There were a couple of problems in industry. Some of the basics like railroads, textiles, and steel is what made a profit. The railroads would shut down because of the creation of buses and trucks. The boom industries, things like construction and consumer goods, were no good. Black Tuesday, October 29, stocks fell sharply. They tried to sells goods for lower prices. Some who bought stocks had huge debts and others had lost their savings. Many money was lost, clearing out many investors. After Black Tuesday, the Great Depression was the longest economic downturn they had in America.
Herbert Hoover
Hoover believed that a chief function of the government was to encourage voluntary cooperation among competing interest groups. He also believed that the federal government should guide relief measures but not directly participate in them. Hoover's reaction to the stock market crash was caution. He urged key leaders to work together to provide solutions and to act in ways that would not make the economic situation worse. The Boulder Dam was the world's tallest dam and second largest. The dam had also provided a regular water supply. In 1932, Hoover signed the Federal Home Loan Bank Act, which lowered mortgage rates for homeowners and allowed farmers to refinance their farm loans.
During the Great Depression, some people weren't allowed to sleep in their homes anymore and ended up sleeping in the streets. Americans would sleep out in sewers or in ditches using newspaper as a blanket to keep themselves from being cold. Some would even make houses out of anything they find. There were a couple of shantytowns, towns full of shacks. A whole family was even living in a piano box. A couple of Americans would grab garbage from dumpsters and beg kitchens to give them food for their families. There were also lines of people trying to receive food. The breadlines were lines of Americans trying so hard to get low-cost food.
Depression in the Countryside
A severe drought gripped the Great Plains in the early 1930's. Wind scattered the topsoil, exposing sand and grit. The resulting dust traveled hundreds of miles. One storm in 1934 picked up millions of tons of dust from the Plains and carried it to the East Coast. Florence Owens Thompson, mother of seven, lived in tents in California. She was known as the "Migrant Mother" who became a symbol of Depression and the biggest argument in the New Deal.
The New Deal was FDR's plan to help the nation get through the Great Depression by enacting many government programs designed to provide; relief, recovery, and reform. FERA helped fund local relief efforts. However, FDR wanted to avoid government "handouts". The Glass-Steagall Act of 1933 was passed. Social Security Act collected social security taxes from all workers. They paid the government pensions to retired people and the disabled ones, too. The PWA provided money to states to create jobs. When the programs of the community colleges failed, Roosevelt established the Civil Works Administration.
Franklin D. Roosevelt
Franklin D. Roosevelt who was known as FDR, was the two term governor of New York. He was a state senator in 1910 and became an assistant secretary of the navy. He was partially paralyzed from the waist down in 1921. Roosevelt wouldn't give up just because he was paralyzed, so that's what made him want to be governor of New York. He was the one who promised a new deal for the people. On March 12, President Roosevelt gave the first of his many fireside chats or radio talk. This is what made people think he was talking to them specifically.
Hardship for Children
In the 1930's, children were to suffer as well. Bad diets and the loss of money led to health problems for children. Clinics and hospitals reported the rates of unhealthy children growing. As tax rate fell, schools shortened the year and certain schools closed throughout the whole year. By 1933, more than 300,00 students stayed out of school because of all the schools that closed. Many went to work instead. There were riders who were beaten and threatened by patrolmen. Some riders were locked into ice cars for days.
Eleanor roosevelt
Niece of Theodore Roosevelt, Eleanor Roosevelt, lost her parents at a young age. She was raised by a strict grandmother. She was interested in child welfare, housing reform, and equal rights for women. She questions so much on why everyone isn't equal if we are all the same.