Roaring+20s,+Great+Depression+&+New+Deal

=Roaring 20s, Great Depression, & the New Deal =

Key Terms:

 * **100 Days** || Roosevelt called Congress into a hundred-day-long special session. During this brief period, Congress passed into law every request of President Roosevelt, enacting more major legislation than any single Congress in history. Events such as the Bank holiday, the repeal of Prohibition, Fireside Chats, Financial Recovery Programs, Programs for relief for the unemployed, Industrial recovery program, and a farm production control program. ||
 * **Alphabet Soup Agencies** || refers to about 100 offices that were created during Roosevelt's terms of office as a part of the New Deal. ||
 * **Anarchists** || Anarchists are generally defined by their rebellion against any established government or order. ||
 * **Assembly Line** || Was a process invented by Henry Ford, which allowed for more efficient production of automobiles. The development of the assembly line increased the efficiency of manufacture and decreased its cost. The economy of the 1920s heavily relied on this boom in automobile production. ||
 * **Bonus Army** || Composed of World War I veterans that were promised a bonus payment of $1.00-$1.25 for every day served in the war in the United States and overseas. When the Great Depression clouded the nation only a few years later, Congress could not pay these veterans. About 15000 veterans marched around Washington D.C. to demand immediate bonus payments. ||
 * **Bootleggers** || In 1920, the 18th Amendment prohibited the manufacturing and sale of alcohol in the United States. Bootlegging in the 1920s refers to the making, transporting, and selling of alcohol. The term originates from the idea of people hiding alcohol in their boots. ||
 * **Bread Lines** || Hunger and poverty-stricken Americans that were affected by the Great Depression stood in line at soup kitchens and breadlines to receive free food. ||
 * **Buying on Margin** || In the 1920s people started purchasing stock more than ever before. Upper-middle class Americans could now buy on margin without paying fully. The buyer would then hold the stock until the price rose and sell it for profit. As the prices kept appreciating, the system worked. But in 1928, the prices depreciated and the system of buying on margin failed. ||
 * **Credit** ||  ||
 * **Deficit Spending** ||  ||
 * **Direct Relief** ||  ||
 * **Dust Bowl** || an ecological and human disaster caused by misuse of land and years of drought. Because millions of acres of farm land became useless, many farm families (usually called "Okies" because the majority came from Oklahoma) were forced to move in search of better economic conditions. Millions migrated to states like California to find jobs, usually low-paid farming jobs. This great human movement was described in John Steinbeck's award-winning novel, //The Grapes of Wrath.// ||
 * **Federal Reserve System** ||  ||
 * **Flappers** || A new fashion among women in the 20s, inspired by movie actresses as well as a growth in desire for independence. Women started to revolt against sexual taboos by "bobbing" their hair, wearing shorter dresses, smoking cigarettes, and driving cars. ||
 * **Foreclosure** || Foreclosure is the legal process that banks use to get back some of the money they loaned when a borrower can't repay the loan. In the 1920s, many loans were written when land values and crop prices were high. After the stock market crash, few people had the money to buy land, and so land values plummeted. When a bank had to foreclose and sell the land, they couldn't make up the difference. So, banks would take all of the assets pledged to the loan. Families were often thrown off their farms and lost everything. ||
 * **Franklin D. Roosevelt** ||  ||
 * **Harlem Renaissance** || Was a movement in African American culture characterized by changes in literature, music, and art. This renaissance bloomed in Harlem, New York and allowed for exponential population growth in the city among African Americans. ||
 * **Henry Ford** || Founder of the ford motor company, introduced the assembly line and mass production. ||
 * **Herbert Hoover** || The United States Secretary of Commerce in the 1920s for Warren Harding and Calvin Coolidge. Became the President in 1928. ||
 * **Hobos** || A term that was originated in the west for migratory workers. ||
 * **Hooverville** || A town of homes during the great depression built by homeless people, during the term of Herbert Hoover. Consisted of tents and small shacks. ||
 * **Installment** ||  ||
 * **Jazz Age** || A time when high school as well as college students danced to jazz music to rebel against the culture of their elders’. Jazz was used as a symbol of the “new” and “modern” culture of the cities ||
 * **Lost Generation** || A term used to describe the feelings of disillusionment of literary notables towards the American Life. Many of them moved to Paris. ||
 * **Nativism** || A belief that immigration should be either limited or banned because it hurt the economy of the United States. ||
 * **Price Supports** ||  ||
 * **Prohibition** || A term used to ban alcohol. ||
 * **Protective Tariff** || Used on imported goods in order to raise the prices and to prevent foreign competition. ||
 * **Quota System** || A system used to limit the number of immigrants to the U.S. per year. ||
 * **Red Scare** || A time when there was an increase in the fear of socialism caused by the Communist takeover in Russia. It was an anti-communist hysteria. ||
 * **Rugged Individualism** || A belief in personality liberty, self-reliance, and free competition. ||
 * **Sacco and Vanzetti** || Sacco and Vanzetti were two Italian immigrants who were charged for robbery and murder in Massachusetts. There were many protests stating that they were innocent and were only being charged because they were poor Italians who were against any type of government. In 1927 they were both executed. ||
 * **Scopes Trial** || In 1925 a School teacher John Scopes was brought to trial in Tennessee for teaching his high school class the theory of evolution. At the time Tennessee made it illegal for public schools to teach Darwin’s theory of evolution. ||
 * **Soup Kitchen** || Were places where those who could not afford food could go and be fed for free. ||
 * **Speakeasies** || A company that would sell alcoholic beverages illegally. ||
 * **Speculation** || Was when many people took risky investments. ||
 * **Stock Market Crash** ||  ||
 * **Stocks** ||  ||

Warren Harding: The 29th President. Served from 1921 until a fatal heart attack in 1923. His domestic policy consisted of: **
 * Key Figures:


 * Reduction in income tax
 * Increase in tariff rates under Fordney-McCumber Tariff Act of 1922
 * Establishment of the Bureau of the Budget

" The business of America is business."
 * Calvin Coolidge:** Came into office after Harding's death. Reelected in 1924. He was tight on the budget and refused to give WorldWar I veterans a bonus. He also vetoed the McNary-Haugen Bill of 1928, which was created to help farmers deal with the decline in crop prices.

**Herbert Hoover: Won the 1928 Presidential elections, defeating Alfred E. Smith and became the 31st President. ** **Franklin D Roosevelt:**

The Roaring 20s
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- A time period focused on adjusting to the economic growth and social changes. The 1920s was known for its improvement on the lives of Americans, but this improvement was not universal. Around 40% of American families had an income within the poverty range. In fact, farmers were the most hurt during the decade. There was also and intro to a new culture throughout the 1920s, in which a majority of American families resided in urban areas. The new culture consisted of behaviors that went against the strict religious and moral codes of rural America. Consumerism also played a major role in the lives of Americans.

Manufacturing process became more efficient through mass production. The creation of Ford's assembly line. Increased use of oil and electricity. Increased use in electrical appliances. Government offered corporate tax cuts, and made no attempt to enforce the antitrust laws. **
 * Causes of Business Prosperity:

Farmer prosperity ended as soon as the war ended. Left with a heavy debt due to the money borrowed during the war. As their productivity increased their debt would increase due to the decline in prices.
 * Farm Problems:**

Open shops (jobs offered to nonunion members) caused a decline in the union by 20%. The practice of Welfare Capitalism began to increase, in which businesses would offer benefits as well as higher wages to workers to keep them out of unions. Unions failed. (United Mine Workers- John L. Lewis) **
 * Labor Problems:

//Jazz Age-// Time in which high school and college students danced to jazz music as an act of rebellion towards their parents. //Flappers-// A new style of fashion among women that pushed the boundaries on sexual taboos. //Consumerism-// Americans began to purchase new home appliances such as; refrigerators, vacuums, and washing machines.
 * New Culture:**

Automobiles became more affordable. On average, every family had at least one car.
 * Impact of Automobiles:**

The first radio station aired in the 1920s. ** Watching movies became a habit.
 * Entertainment:

The Harlem Renaissance represented the flowering of African American culture through arts, literature, movies, and music. Women were given the right to vote by the 19th Amendment.
 * Key Movements/Events for Minority Groups**

The Great Depression



 * Causes and Effects of the Depression, 1929-1933

A. Causes 1. Uneven distribution of income - Wages rose relatively little compared to the large increases in productivity and corporate profits. The top 5 percent of the richest Americans received over 33 percent of all income. 2. Stock market speculation - Many people in all economic classes believed that they could get rich by "playing the market." People were no longer investing their money in order to share in the profits of a company--they were speculating that the price of a stock would go up and that they could sell it for a quick profit. 3. Excessive use of credit - Advertising stimulated consumers' desire for the exciting new appliances and cars being produced. 4. Overproduction of consumer goods 5. Weak farm economy - Farmers were faced with problems of overproduction, high debt, and low prices. Droughts and severe weather added to the difficulties that confronted the farmers. 6. Government policies - High tariffs which protected U.S industries but hurt farmers and international trade. 7. Global economic problems

B. Effects - The value of all goods and services produced by nation in one year. - About 20 percent of all banks closed, wiping out 10 million savings accounts. - 13 million people were unemployed by 1933.

C. Hoover's Policies 1. Hawley Smoot Tariff(1930) - Highest schedule of tariff rates in history - Set tax increases ranging from 31 percent to 49 percent on foreign imports. - Purpose: to satisfy U.S. business leaders who thought a higher tariff would protect their markets from foreign competition. 2. Debt moratorium - Hoover suspended on the payment of international debts. - The international economy suffered from massive loan defaults, and banks could not meet the demands of the many depositors withdrawing their money. 3. Federal Farm Board - Helped farmers stabilize prices by temporarily holding surplus grain and cotton in storage. 4. Reconstruction Finance Corporation - Purpose: to stabilize faltering railroads, banks, life insurance companies, and other financial institutions. **

**D. Despair and Protest** - Farmers banded together in hopes of stopping banks from foreclosing on their farms and evicting them from their homes. - In the midwest, formed the Farm Holiday Association, which attempted to reverse the drop in prices by stopping the entire crop of grain harvested in 1932 from reaching the market. 2. Veterans (Bonus March) - About 1000 unemployed WWI veterans marched to Washington D.C. to demand immediate payment of the bonuses they were promised by Congress. Later, thousands of other veterans joined them with their families and children. - Congress failed to pass the bonus bill they sought. **
 * 1. Farmers

**E. The Election of 1932** - Nominated Hoover 2. Democrats - Nominated Franklin D. Roosevelt who promised "New Deal" - John Garner for vice president 3. Results - Roosevelt got all but 6 traditional Republican states in the N. East - Many socialists voted for Roosevelt **
 * 1. Republicans

The New Deal


The New Deal was created by Franklin D. Roosevelt in response to the Great Depression. Roosevelt's New Deal consisted of the three "R's": **Relief** for for people out of work; **Recovery** for businesses and the economy as a whole; and **Reform** of American economic institutions. To execute this New Deal successfully, Roosevelt relied on many advisers, and they were known as the Brain Trust.

One of Roosevelt's plan was known as the **First Hundred Days.** During this period, he called Congress into a hundred-day long session in which they passed into every law request of the President. Events such as **the Bank Holiday, Repeal of Prohibition, Fireside Chats, Financial Recovery Programs, Unemployed Recovery Programs, Industrial Recovery Programs,** and **Farm Production Control Programs** took place.

In the summer of 1935, President Franklin Roosevelt launched the "Second New Deal". The **Works Progress Administration, the** **Resettlement Administration, National Labor Relations Act,** and **Rural Electrification Administration** all took place during this Second New Deal. Roosevelt's focus for his reform movements during this Second New Deal reflected his beliefs that industrial workers and farmers needed more help from the government. One of the most important legislations passed was the **Social Security Act.** The passage of this act would come to affect the lives of nearly all Americans. This act benefited persons over the age of 65, unemployed workers, persons who were disabled, and dependent children and mothers.


 * Movies || Television || Musical Genres || Art Movements & Schools ||
 * Chicago || The Untouchables || Jazz || Surrealism ||
 * Great Gatsby ||  ||   || Art Deco ||
 * Eight Men Out ||  ||   || Photography ||

 Sources

Armstrong, Stephen. //5 Steps to a 5: AP U.S. History//. 2010. Print.

Newman, John J., and John M. Schmalbach. //United States History: Preparing for the Advanced Placement Examination//. New York, N.Y.: Amsco School Publications, 2006. Print.

"Roaring Twenties." //United States History//. Web. 17 June 2010. .