![Page 1: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/1.jpg)
GREAT DEPRESSIONTHE GOOD TIMES COME TO AN END…
![Page 2: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/2.jpg)
CAUSES• Stock Market Crash• Banking system collapses• High tariffs• Business fails• High unemployment• Increased food prices• Dust Bowl
![Page 3: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/3.jpg)
BLACK TUESDAY• 1920’s “Bull” Market ends
• “Bear” vs “Bull” Market• Buying on Margin – purchase of stocks with credit or
borrowed money• Stock prices peak in August 1929• Tuesday, October 29, 1929• Stock market crashes
• More people want to sell stock than want to buy
• September 1929: stocks worth $87 BILLION• November 1929: Lost over $30 BILLION
![Page 4: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/4.jpg)
COLLAPSE OF THE ECONOMY• Banks were heavily invested in the stock market• Banks had lent money on margin• People rushed to banks to withdrawal money
• Banks don’t keep money on hand• Did not have the money owed to people
• Banks went out of business• 1931 2,200+ banks closed
![Page 5: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/5.jpg)
BUSINESSES CLOSED• Businesses had money in banks
• Some businesses closed• Some cut back on production• Needed fewer workers• Unemployment in 1929 went from under ½ million people
to more than 4 million in 3 months!!!
Stock Market Collapse
Businesses close
Banks loose money
People look for jobs/unemployed
People can’t buy stocks, rampant debt
![Page 6: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/6.jpg)
DUST BOWL• Causes
• Severe drought – 1934-1937• Over farming – fragile root
system in plants to act as an anchor
• High winds – picked up loose topsoil and created “black blizzards”
• Results• Suffocated cattle and pasture
land• 1934 over 100 million acres
of farmland lost• One storm blew from Great
Plaines to Washington DC
![Page 7: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/7.jpg)
WHO TO BLAME???• President Herbert Hoover was the
target of many• Families struggled to find food
• Searched city dumps• Boiled shoes
• Soup Kitchens• Hoover believed it was up to
individuals and institutions to provide charity, not the Federal Government
• “Hoovervilles” were built• Bonus Army was dealt with by using
force
![Page 8: GREAT DEPRESSION THE GOOD TIMES COME TO AN END…. CAUSES Stock Market Crash Banking system collapses High tariffs Business fails High unemployment Increased](https://reader036.vdocuments.us/reader036/viewer/2022081513/5a4d1aeb7f8b9ab05997adaf/html5/thumbnails/8.jpg)
1932 PRESIDENTIAL ELECTION• Hoover vs. Franklin Delano Roosevelt• Public had lost confidence in Hoover (and themselves)• Roosevelt was confident and optimistic• FDR won the 1932 election in a landslide