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The Great Depression
| Question | Answer |
|---|---|
| Placate | to make less angry, upset, or hostile, usually by doing or saying things to please |
| Affluent | wealthy or rich |
| Frugal | economical in use or expenditure; prudently saving or sparing; not wasteful |
| Market Speculation | risky investment in the stock market in hope of quick, high profits |
| Black Tuesday | 29 Oct. 1929, crash of U.S. stock market, signaling the beginning of the Great Depression |
| Mechanization | the use of automatic machinery to increase production |
| Economic Nationalism | policy of protective tariffs and similar restrictions used by nations in an attempt to better their own economy without regard for the economies of other countries |
| Great Depression | a worldwide depression that began in 1929 characterized by low economic activity, high unemployment, bank failures, and falling prices |
| Bank Run | a panic by depositors/customers of a bank during which they come and withdraw all their money due to fears the bank will fail and lose everything |
| Dust Bowl | name given to parts of the Great Plains after a severe drought struck the region |
| Okies | general term used to describe Dust Bowl refugees |
| Volunteerism | the belief that charity orgs. and individuals should help the poor until the economy recovers |
| Smoot-Hawley Tariff | 1930 tariff passed by the Democrats and Hoover to help protect U.S. industries |
| Herbert Hoover | Secretary of Commerce under Presidents Harding & Coolidge; Republican that was elected 31st U.S. President in 1928 (began serving in 1929); ran for re-election in 1932 against FDR but lost |
| Rugged Individualism | belief that success comes through individual effort and private enterprise |
| Reconstruction Finance Corporation | a.k.a. RFC; govt. agency created by Herbert Hoover in 1932 to provide emergency govt. credit to banks, railroads, and other large businesses; represented a major change in Hoover’s rugged individualism & laissez-faire policies |
| Hoover Ride | a ride via hitchhiking to somewhere |
| Hoover Flag | empty pockets turned inside out |
| Hoover Meals | food scraps |
| Hoovervilles | shantytowns set up in vacant lots in cities |
| New Deal | the name given to FDR’s promises and policies designed to get the nation out of the Great Depression |
| Franklin Delano Roosevelt | a.k.a. FDR; Democrat who was elected 32nd U.S. President in 1932; previously served as Assistant Secretary of the Navy under President Wilson and Governor of¬¬¬ New York; also 5th cousin to President Theodore Roosevelt |
| Eleanor Roosevelt | wife of FDR who as First Lady took an active, unofficial role in FDR’s administration |
| Brain Trust | a group up professionals and professors gathered by FDR to help him put together the New Deal |
| Francis Perkins | first woman cabinet member appointed by FDR as Secretary of Labor |
| Deficit Spending | economic policy of the govt. spending more money than it takes in |
| John Maynard Keynes | an economist who advocated deficit spending to create public projects to put people back to work, thus circulating money in the economy |
| Fireside Chats | speeches by FDR broadcast over the radio in which he addressed the American people directly; the first one was 12 March 1933, and dealt with his decision to close banks for a period of time (a “bank holiday”) |
| Bank Holiday | 1933 proclamation by FDR that closed all banks in the U.S. for a few days to stop bank runs |
| Federal Emergency Relief Administration | a.k.a. FERA; created in 1933 to give direct grants of money to state and local agencies which were to use the money to create work-relief projects |
| Civil Works Administration | a.k.a. CWA; created in 1933 for “make work” projects so that money would not just be given out but earned |
| Civilian Conservation Corps | a.k.a. CCC; govt. agency that provided jobs for young men to replant forests, build trails, dig irrigation ditches, and fight fires |
| National Industrial Recovery Act | a.k.a. NIRA; passed in 1933 by Congress to stimulate business and reduce unemployment; created the PWA and NRA |
| Public Works Administration | a.k.a. PWA; govt. agency that created jobs constructing public buildings |
| National Recovery Administration | a.k.a. NRA; govt. agency created to regulate production, prices, and wages by creating “codes of fair competition” |
| Agricultural Adjustment Act/Administration | a.k.a. AAA; agency created in 1933 to pay farmers to produce less in order to raise food prices; money to pay farmers came from increased taxes on food processing companies (canners, meat packers, etc.) |
| Francis Townsend | critic of FDR who proposed every American over 60 yrs. old should be given money every month to spend within 30 days to stimulate the economy |
| Charles Coughlin | Roman Catholic priest with a popular radio program who criticized FDR for not doing enough and urged the govt. to take over all banks and return to the silver standard |
| Huey Long | Senator from Louisiana and critic of FDR; proposed in 1934 the “Share Our Wealth” program which would have created very high taxes on the wealthy and large corporations, redistributing their income to the poor |
| Schechter Poultry v. United States | Supreme Court case in which the NIRA was declared unconstitutional on the grounds that the President does not have the power to regulate intrastate commerce |
| Coalition | an organization of different political groups in support of a common cause |
| New Deal Coalition | a coalition of voters made of blacks, members of various labor unions, southern whites, and people in cities who supported FDR, the Democratic Party, and the New Deal programs |
| National Youth Administration | a.k.a. NYA; created in 1935 to provide jobs and counseling for unemployed youth between the ages of 16-25 |
| Mary McLeod Bethune | a black teacher who FDR appointed as head of the NYA’s Minority Affairs Office; also helped organize the Black Cabinet |
| Black Cabinet | a group of influential blacks who advised FDR on racial issues |
| Rural Electrification Administration | a.k.a. REA; gave govt. loans to electric companies to build power lines brining electricity to isolated, rural areas |
| Works Progress Administration | a.k.a. WPA; agency created in 1935 that employed many people in government projects ranging from highway construction to the arts |
| Federal Writers’ Project | a.k.a. FWP; created in 1935 as part of the WPA to provide employment for historians, teachers, writers, librarians, and other white-collar workers |
| Richard Wright | black writer who received funding from the FWP that helped him author the book, Native Son |
| John Steinbeck | author who received funding from the FWP that helped him author one of the most famous books about the Great Depression, The Grapes of Wrath |
| Glass-Steagall Banking Act of 1933 | created federal insurance for bank deposits so that if a bank became insolvent (bankrupt), depositors’ money would be reimbursed by the federal government up to a certain amount; began outlining the FDIC to administer this insurance program |
| Banking Act of 1935 | finalized creation of the FDIC and created a board (known today as “the Fed”) to regulate the nation’s money supply and interest rates on loans |
| Federal Deposit Insurance Corporation | a.k.a. FDIC; govt. agency created in 1933 to restore confidence in banks; it insured bank deposits up to $5,000 (it is $100,000 today) |
| Securities & Exchange Commission | a.k.a. SEC; govt. agency created in 1934 to regulate the stock market and restore confidence in it |
| Gold Standard | monetary system in which money is equal to a certain amount of gold |
| National Labor Relations Act | a.k.a. Wagner Act; 1935 law that recognized the right of employees to join labor unions and engage in collective bargaining; created the National Labor Relations Board |
| Collective Bargaining | the negotiations of unions with business owners over wages, hours, benefits, and working conditions |
| Congress of Industrial Organizations | a.k.a. CIO; established by labor leaders to represent lower paid and more ethnically diverse workers |
| Sit-down Strike | when workers refuse to work or leave the workplace until a settlement is reached |
| Social Security Act | 1935 law that est. a pension system for U.S. workers and unemployment insurance that provides payments for the poor, disabled people, and workers injured on the job |
| 21st Amendment | repealed the 18th Amendment (Volstead Act) |
| Fair Labor Standards Act | 1938 law that established a minimum wage (25¢/hr.) and a maximum work week (44 hrs.), and outlawed child labor |
| Welfare Capitalism | capitalism characterized by a concern for the welfare of various social groupings, e.g. workers, expressed through social-security programs, collective-bargaining agreements, state industrial codes, and other guarantees against insecurity |
| Wendell Willkie | former Democrat turned Republican because of what he felt to be unwise govt. restraints on business enterprise; became the Republican presidential candidate in 1940, but was unsuccessful in defeating FDR |
| Axis Powers | 1936 military alliance formed by Germany and Italy (Japan joined later) which began WW II |
| Allied Powers | military alliance formed by Great Britain, France, and other European countries (the U.S. joined later) in response to the aggression of the Axis Powers |
| Isolationism | policy wanting a nation to stay out of foreign affairs, i.e. to isolate the country from involvement in disputes and conflicts in other countries |
| Arsenal of Democracy | slogan coined by FDR in a radio broadcast delivered in Dec. 1940; Roosevelt promised to help Great Britain fight Nazi Germany by giving them military supplies while the U.S, stayed out of the actual fighting |
| Empire State Building | the tallest building in the world (102 stories) in 1931 opened in NYC |
| Amelia Earhart | first woman to receive a pilot’s license in U.S. and fly solo across the Atlantic; she mysteriously disappeared in an attempt to fly across the Pacific in 1932 |
| Jesse Owens | black Olympic track star for the U.S. who won 4 gold medals in the 1936 Berlin Olympics amidst the Aryan racism of the Nazis |
| Hindenburg | a German zeppelin (airship) that exploded in May 1937, in Lakehurst, New Jersey |
| War of the Worlds | a book written by H.G. Wells about a Martian invasion of the Earth that was adapted into a radio play narrated and broadcast by Orson Welles as a series of news events in 1938; it terrified listener who were ignorant that it was all a work of fiction |
| Dorothea Lange | photographed migrant workers in the Depression, funded by Farm Security Administration, drew attention to rural U.S. & the need for direct relief |
| Banks were shut down and subject to govt. inspection, allowed to reopen when “Healthy” – FDR needed time to make a plan to protect savings & stop bank runs | What was the purpose of a bank holiday? |
| FDIC – Federal Deposit Insurance Corporation, Social Security Act, Fair Labor Standards Act, Wagner Act, and SEC - U.S. Securities and Exchange Commission | Which New Deal programs continue today? |
| Social Security Act | Which New Deal program provided for the welfare of retired workers? |
| Intensified the crushing economic impacts of the Great Depression and drove many farming families on a desperate migration in search of work and better living conditions. | Why were the “Dust Bowl” conditions of the 1930s so significant in United States history? |
| FDR wanted # of judges to increase from 9-15 (to “pack the court” w/his supporters since the old ones disagreed w/him). | What caused Roosevelt to submit his “court packing” scheme proposals? |
| They became very involved and controlled much of the society. It opened a door of socialism in the United States and was moving away from federalism. | How did New Deal programs and policies change the role of the federal government in domestic affairs? |
| There was uneven incomes, unbalanced foreign trade = The Stock Market Crash, people lost their jobs. | What caused an increase in unemployment between 1929 and 1930? |
| The Great Plains | What region in the United States did the Dust Bowl primarily affect? |
| Made a system of govt. owned hydroelectric dams for cheap electricity for rural areas and for flood control. It created lower rates b/c govt. agency. It created debate of private industry vs. federal govt. ownership (Nationalization vs. Privatization). | How did the Tennessee Valley Authority (TVA) provide cheap electricity, flood control, and recreational opportunities in the Tennessee River Valley? |
| He used fireside chats with the American people to address certain issues: calm economic and social fears. FDR seems more compassionate than Hoover because of this. | How did President Franklin Roosevelt use radio very effectively in the early 1930s? |
| It increased the power of labor unions and increased in sit-down strikes | What effects did the 1935 passage of the Wagner Act and the establishment of the National Labor Relations Board have? |
| Due to the dust bowl many Americans moved to California. The dust bowl was really bad to breath in, and they had no job, so they left to find work. | During the 1930s, why did many Americans move out of the Great Plains states? |
| WWII | What ended the economic depression of the 1930s? |
| Easy Credit, Overproduction, Uneven incomes, and unbalanced foreign trade | What were the 4 primary causes of the Great Depression? |
| Many people stood in lines for food or charities handed it out, some people had to eat food out of the trash | During the Great Depression, how did many people in the cities receive food? |
| Poor farming practices: overgrazing, overproduction, droughts, strong winds | What caused the Dust Bowl conditions of the 1930s? |
| Banks ran out of money & b/c they’d loaned to investors who lost their money in the stock market | Why did many banks fail when the Great Depression started? |
| Alphabet Soup | What were FDR’s New Deal programs called (due to all their acronyms)? |
| Millionaires became bankrupt overnight, some could not handle the despair = suicide, businesses & factories closed, and people became jobless and homeless | What were the effects of the Great Depression? |
| Agricultural Adjustment Administration (AAA) | What was the first program of the New Deal to give direct federal handouts? |
| For the government could print more money that Fort Knox gold reserves. This led to increase in money in circulation, therefore wages and prices increased (inflation), which led to dollar values decreasing which gave government spending power. | Why did President Roosevelt take the U.S. off the gold standard? |
| Fatal error b/c economy nationalism = tariff wars among countries = no foreign markets bought Am. Goods U.S. profits decreased AGAIN. Made the Depression worse b/c no trade. | To what problem did the Smoot-Hawley tariff add? |
| Massive droughts and dust storms in Great Plains, e.g. The Dust Bowl. | What problems did Plains farmers face during the Depression? |
| Massive govt. spending | What kind of government spending did FDR advocate? |
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