Experiencing the Great Depression notes

20th Century
Shen
The Human Face of the Great Depression
I.
Initial Impact
a. Many factories cut back on production and some just closed their doors.
b. U.S. Steel announced a 10% wage cut in 1931.
c. Many industries laid off workers—in Detroit unemployment soared to over 40%.
d. More than 4 million Americans were out of work in 1930. By 1932 that number had increased to 12
million.
e. Unemployment caused rates of eviction and foreclosure to soar. More than 200,000 people were
evicted in NYC in 1930.
II.
Impact on Various Social Classes
a. THE RICH
i. Those who invested heavily in the stock market lost everything. Some were able to remain
millionaires by selling short as the market went down (Joseph Kennedy).
ii. Many rich people began to hoard gold and fear revolution.
b. THE MIDDLE CLASS
i. The 98% of Americans who did not own stock would have hardly noticed the crash; rather, the
Depression meant...
c.
III.
IV.
V.
ii. Luxuries had to be given up; telephone service, for example.
LOWER CLASSES
i. For unemployed blacks and tenant farmers…
ii. Municipal and private charity funds were quickly exhausted.
iii. Many families could not afford to feed their children.
Psychological Impact
a. Many victims tended to blame themselves.
b. People felt ashamed that they could no longer support themselves.
i. One man forced to stand in a breadline would bend his head low
so that no one would recognize him.
ii. This trend especially applied to men – why?
iii. Women then bore the psychological burden on dealing with
unemployed husbands, hungry children, and unpaid bills.
What impact did the Depression have on the family unit? (cite 2 positive/2
negative)
What was the Dust Bowl? (DEFINE)
a.
Created by:
i. Severe drought in the 1930s
ii. Violent winds picked up dark, nutrient-rich topsoil and carried it
eastward – left behind sand
iii. Poor farming practices
VI.
Hoover’s Plan
a. Despite a number of good ideas (public works projects, expanding availability of credit, loans, and
mortgages), Hoover was generally blamed by Americans for the Depression.
b. While he felt that the federal gov’t should promote cooperation and even create public works, he
believed in _____________, not _______________________. According to Hoover, whose
responsibility was it to provide direct relief to the needy?
c.
Hoover was generally perceived as an unsympathetic character who didn’t care about the poor and
unemployed.
VII.
Hoover’s Shame(s)
a. The Bonus Army Fiasco
i. Many WWI veterans lost their jobs during the Depression and lobbied for the payment of their
veterans’ bonuses (due in 1945) early.
ii. Congress passed a bill (over Hoover’s veto) allowing them to borrow up to 50% of the bonus
due to them.
iii. This concession did not satisfy the veterans.
b. In May of 1932, __________________ veterans marched on Washington and took up residence in a
shanty town called Bonus City.
c. Hoover refused to talk to the leaders and called in the U.S. Army who rolled in with tanks, guns, and
tear gas to take care of the militant veterans.
i. Two Bonus marchers were killed, and several others were injured.
d. To add insult to injury, shanty towns that popped up near all large cities were called
“_________________________” and the privies “_____________________________.”
e. The Bonus Army fiasco, the shanty towns, and the breadlines that abounded became symbols of
Hoover’s presidency.
VIII.
Hoover’s Attitude Problem
a. Hoover approached the Depression with an attitude that many found impractical for the emotional and
physical needs of the American populace at that time.
b. He did not understand why the Bonus marchers marched all the way to Washington. What did he not
understand about this?
c.
What was Hoover willing/unwilling to do?
d. In the end, Hoover’s legacy was one of bitterness and misery—whether that is deserved or not is up for
interpretation.
e. Hoover believed that an unbalanced budget and a large federal bureaucracy would interfere with the
“American way.”