Wall St crash

Social impacts, poverty
Bank = collapse, lost faith due to actions in SM

Rapid ↑ unemploy→ widespread poverty urban areas
-many = X expect, unprepared so impact = severe, 25% work pop
40 mill in family, main breadwinner = laid off, 1/3 of US pop = affected

-X social welfare support 4 affected – Rep ideals = LF (let event run course) & RI ( X support) → ↑ poverty, main aid = charity

-↓ foreign trade: $9 bill → 3 (whole world affect)
-collapse = lose $ – people = X chance of get back = ↑ poverty

Jobs
-Comp = force reduce wage to survive

-employ = accept low wages, if not, easy to replace, large no. worker wait fill role

Credit cult → many struggle repay loans when lost job → ↑ evictions, homeless
-Poverty = shown by in rags/ shoe = newspaper, build shanty towns wherever (tin, cardboard)
-Hoovervilles = highlights people blamed Hoover 4 depression
-Show lots social classes affect, all professions

Farmers
-Income ↓ 70% due overproduction

Early 1930s = 90 mill farmland destroyed(worthless) → farmer evict, rural pov
↑ farming tech → efficient production → ↓ worker required = ↑ poverty

Escape hardship = mass migration citiy, seen as outsiders
-signs encourage migrants not to stay, struggle cope with own
-resentment from urban, ↑ comp

Hoover
Inaugural speech = claim US Eco = strongest world & secure 4 future
-boom would X end – even though signs that eco slow

WSC occurred + trigger GD believe way resolve issue = stick to RI
- LF, RI, no gov intervention + support, X responsible create jobs
-↓ taxes, more $ ↑ spend which should improve eco. Bus must do rest.
- X want use gov $ correct issue, reflect RI, ↑ pov = blame on hoover seen not caring = ‘do nothing President’

LI = outdated, 1930s = everyone uncertain time ↓ spending + use of banks

Attempt to fix industry + banks + effects world trade
-↑ difficulties foreign trade -  Eur nations reacted = ↑ tariffs, spread GD severe eco impact across world

1930 = Hawley-Smoot Tariffs ↑ further Eur imports by 20-60%,
→ 2/3↓ exports/imports from Eur
-Aim = fail ↓ spending from ↑ unemploy, no spare $ invest into eco + confidence
-B4 depression many buy on credit, banks = X lending, cant X goods.

Attempts fix bank = action too late, collapse 5k banks
-saving money in banks no spend
1932 = Reconstruction Finance Corporation – aim = ↑ confidence bank industry
-Intro too late, public already lost faith in gov/banks

Attempt fix social issues
Hoover = viewed as callous & insensitive to suffering

-1931 = claim x starve from GD = show out of touch (many extreme pov)

Believe RI = only way out of crisis = ↑ spending
-Enc bus X low wages h/w main focus = maintain bus + no bankrupt
(Ford ↑ wages of low skill worker by ↓ wage of wealthy)

↓ income tax, hope enc more spend, uneffective, X large amount spend. 12 mill = unemploy, not affected

↑ Fed expenditure, attempt enc ↑ employ

-Fed Farm Board = buy large crops support farmer (hope = slow migration)
-↑ spend gov build program = ↑ employ ,1930 = $116 mill spent

Refuse provide unemploy benefit, main aid = charity.
-NYC 1932 = $79 mill charity relief raise = ↓ month wage 4 800k unemploy
-Lack support ↓ opinion of Hoover, ‘Hoovervilles’

Roosevelt aims
-1932 = 12-14 mill US unemployed & very little help provided

disillusion w/ Gov  = call 4 ↑ welfare & support, belief change = need
-Hard time often → major change (US change = Rep – Demo h/w other nat = more extremist

-peeps want demo gov b/c view support comm more effective
-deter restore faith, improve US eco – via “new deal”

Focus of Roosevelt’s New Deal
EBA 9th -12th mar (immediate action)

-Support those affected by pov – social welfare relief
-Enc eco recovery = provide jobs 4 unemploy, get nation back work
-Reform eco/banking sys, ensure GD X occur again

EBA: all bank close = X run on banks + weak eco
-allow reopen if gov found them financially secure → 5k bank reopen ↑confidence banks ↑ saving → ↑ lend bus → growth of industry

Civilian Conservation Corps (CCC) 1933
-2.5 million = ↑ fitness of youth,

Agricultural Adjustment Act (AAA) 1933
Impact = famers income ↑ 2.5x 1932-35

young unemploy volunteer 6 months, work country– laying forests/road etc
-Paid wage $35 p.m, + meals & accomm
-beautified areas = ↑ tourism, plant 200 mill tree = correct dust bowl
easier travel/comms in rural= ↑ tourism + enabled in rural easier access city

Aim = ↓ farm pro = ↑ food prices, Fix LT issue over production
-farmers = ploughed up grow crop, loss of earning 4 farmer = made up by gov subsidy
-show FDR = cares about all US X just Urban areas

Tennessee Valley Authority (TVA) 1933
-control problems caused by Tennessee River south US
-poorest in US, forgotton

Works Progress Administration (WPA) 1935:
-$1,000 million spent on public projects

Area flood reg = ↑ soil erosion + dust bowl → Little industry, ↑ poverty.
3% electricity
-Sav large areas from soil erosion (plant trees) •33 dams, forest
-Hydro electric pwr station created = 93% elec by 1953, ↑ tour, ↑ STD living

Focus build gov funded public works
-8.5 mill give employ (20% country workforce) -2.5k hospitals/ 5.9k school / 570k miles road
-Helped reduce demand 4 jobs = ↑ wages → angry company owners
↑ wages coupled w/ ↑ confidence, hope ↑spending t/f ↑ eco

The Social Security Act (SSA) 1935:
Aim = reduce poverty, look after vulnerable in society (inc veterans who were harshly hit when GD occurred)
Soil Conservation & Domestic Allotment Act (SCDA) 1935:
The National Labor Relations Act (NLRA) 1935:
-Protect eco from strikes = ↓ chance of strikes happening & hurting eco

programs help most vulnerable in society, Pension fund for retired people
-Stopped focus on self-help & help from charities (demo ideal) 

Pay farmer plant soil building crops
Hope = counteract dustbowl & ↑ STD living in dustbowl
→ ↑ employ rural USA = ↓ migration rural to city → ↓ comp 4 jobs cities

Protect worker = allow join trade union, bargain/demand ↑ work cond/pay etc
-Hope = ↓ chance of strikes t/f protect bus/ eco & worker

Limitations
1936 many rich Congressmen = frustrated by FDR’s actions
1939 supreme court, Support = X provided all those who required it t/f New Deal was limited.

X support FDR spend more gov receive taxes, gov debt, accuse socialist
-Some in own party attack final outcome of FDR’s ND show ↓ support Demo party, thought action = too socialist = force slow pace of change, keep support

11/16 ND initiative = unconsti (↑ amount fed $ use) – many = work 4 couple year b4 blocked (AAA) → force create new agency (WPA)
–action show limitations place on FDR by wealthy elite US gov

US eco = no return pre-dep level til 43 = trigger by WW2 (war effort, weapon production) & ↑ spend. eco boom
37: 2nd recession – show unemploy = worse 33 when R took president office