US-C+Chapter+24

Chapter 24 THE GREAT DEPRESSION

__**Tom Chae**__
 * Analyze the causes and consequences of the stock market crash of 1929.**

Encouraged by the “prosperity” and low interest rates, many americans purchased products on credit. Many experts warned such debts could cripple consumers in an economic downturn, but Americans kept buying automobiles, radios, and appliances on borrowed money. Investors poured millions of dollars as they saw no end to the bull market, which is an upward trend in stock prices. The practice of making quick profit by rapid buying and selling led to inflated stock prices. In addition, margin buying, purchasing stocks with borrowed money increased the danger. The crash made the panicked customers to withdraw their deposits, which caused the banking crisis and wiping out of thousands of savings accounts. Americans started saving up and spending less on products, decreasing the profit of companies, which was then followed by thousands of bankruptcies.


 * Evaluate the causes of the Great Depression.**

The U.S. entered a long period of economic recession followed by the stock market crisis. Yet, the more important factors were the widening income gaps, which made the riches richer while the average Amerians poorer. Hence, the average people had to buy products with credit to cover up the gaps. In addition, the people ignored the business cycle, which states that economic prosperity will always be followed by a period of recession.


 * Explain the global context of the depression and the reasons for the worldwide economic collapse.**

Massive war debts following the disastrous WW1 had a role in the global depression. European customers did not have the time or luxury to buy U.S. products. As such, U.S. companies who were having a hard time in their home market also took a hit in their exports. Unfortunately, the U.S. made the bad decision to implement high tariffs on imports from Europe to protect their own industry. This only worsened the global depression unlike their initial intentions. Unemployment rates rose up in every country and reaching as high as 30% in Germany, Denmark, Norway, and Belgium.

farm owners, tenants, and sharecroppers Farmers had more goods than they could sell. Crops rot in the fields and forced to kill livestock they couldn’t afford or feed. Farmers were thus unable to keep their mortgage payments. As a result, banks began closing on farms. Conditions were also very bad for tenant farmers. Cotton prices fell about 10%, and many African Americans farmers were ruined. Some were forced off the land they had lived on all their lives. While farmers in the Midwest faced an overabundance of food, southern cotton farmers faced poverty and devastating harvests.
 * __Max Park__**
 * Analyze the impact of the Great Depression on various groups**

industries and industrial workers For these workers, wages fell dramatically, to as low as 10 cents an hour. Companies reduced the number of hours the employers worked instead of laying them off. As economic prosperity declined, immigration significantly decreased. The homeless gathered in shantytowns, which rose up outside most cities. Blaming an unresponsive president for the depression, these homeless people referred to their towns as Hoovervilles.

the American family The G.D required family members to help and support one another. People shared food and money and support. Furthermore, family and neighbors began to move in with each other. Also, marriage rate fell during the depression and birthrates declined. Meanwhile, women faced hardship, as they worried about keeping food on the table, and surviving trough the depression. Sadly, many Americans committed suicide, faced unemployment, lost their businesses and homes.

ethnic and racial minorities The G.D added to the discrimination the black people faced. The black people were often the first to go when companies laid off employees. Some Americans believed that African Americans “should not be hired as long as there are white men without work.” As a result, many minorities stood on the streets trying to find work for the day. Because women could be hired at lower wages than men, women in the workforce increased.

According the Hoover's idea, the Great Depression was characterized as a " temporary halit in the prosperity of a great people" He always had an optimistic mind and though people should get through this problem individually. People wanted the government's aid, but he rejected all those offers. He instead focused on voluntarism. However, it didn't really get the people out from the Great Drepression. He also made the FFB that granted works for the farmers. It aided many farmers but failed to get rid of the great depression. The factor that increased the depression was the radical protest. He made dams for the people to get jobs, but it gave a small impact.
 * __Dongmin Lim__**
 * Explore the reasons for the deepening crisis of the Great Depression and evaluate the Hoover administration’s responses.**

The pyschological stress from the Great Depression increased many Americans to look for entertainment. One of the most popular entertainment during the Great depression was Movies and radio. With the low ticket prices, the movie theaters offered an inexpensive entertainment. 1920s, the talking picutes, began to replace silent movies and during the 1930s, ganster movies thrilled the audiesnces. Also, Walt Disnney had a big role on cartoon movies. Radio, offered free entertainemtn at home. The increase of people rose from 12 million to 28 million. Literature was also a big hit during the Great Depression. For example, comics about heroes were very popular. Many books related to utopia and economical society were also very popular.
 * How did popular culture offer an escape from the Great Depression?**

Franklin D. Roosevelt was a very smart politician who was very rich. His backround suggested that he would be more likely to identify with the wealthy than with the working citizens. He was a person with the high possiblity of being a Wall Street stock broker. However, Herbert Hoover was a person who thought more of selif reliance than the governemnt helping the people. He was more of a philospher than a president. HE didn't like the idea of direct governemnt aid. He was a believer of individualism. He also supported voluntarism.
 * Contrast the background and leadership abilities of Franklin D. Roosevelt with those of Herbert Hoover.**