History - Prohibition + Great Depression AOS2 (Extended Response)

Causes of Prohibition:

• Woman’s Christian Temperance Movement described alcohol as a “national curse” 

• Belief that Prohibition would improve the economy and fix social problems (crime rates and corruption would reduce) - money saved could help families, create better workers

• 18th Amendment to the Constitution - 17th January 1920

• National Prohibition Act, ‘Volstead Act’

Quote form Women Temperance Movement:

Described prohibition as a “national curse”.

Prohibition Acts (Legislation):

• 18th Amendment to the Constitution January 17, 1919 → made the manufacture, transport or sale of intoxicating liquor illegal

• National Prohibition Act, ‘Volstead Act’ - allowed violators to be arrested and punished.

• 21st Amendment repealed Prohibition laws - December 5th 1933

Effect of Prohibition (Impact):

• Crime increased 24% rise of organised crime, speakeasies, bootlegging (200 000 - 500 000 speakeasies established) 

• Deaths from alcohol quadrupled - people brewed alcohol from home, died from alcohol poisoning

• Federal government lost $11 billion in tax revenue - not purchasing and taxes against alcohol

• Unemployment grew - many jobs connected to alcohol industry

• Divided America between Prohibition supporters ‘drys’ and opponents ‘wets’ 

• Police and Politician Corruption

Effects of Prohibition: SIMPLE FACTS

• Crime increased 24%

• Government lost $11 billion in tax revenue

• Alcohol deaths Quadrupled

• Approx 200 000 - 500 000 speakeasies established 

Police Corruption Quote:

A New York representative stated - “250,000 officials were needed to enforce the Prohibition in New York and 250,000 were required to police the police”

Speakeasies: (Effect)

• Illegal popular clubs that served alcohol and played jazz - often located in basements

• Improvements in social connection - connected with each other while breaking the law

• Approximately 200 000 - 500 000 speakeasies were established 

Police enforcement: (Effect)

• Not enough resources to implement the Volstead Act - police understaffed, corruption (police payed off) 

• In 1929 there were 75 298 prohibition cases

• The Prohibition agency underfunded and under resourced - could not take on organised crime, gangsters, mafia take over distribution of liquor

End of Prohabition:

• Presidential candidate Roosevelt campaigned to end Prohibition elected in 1933 with a margin of 72.9% (overwhelming victory)

• 21st Amendment repealed Prohibition laws

• CONTRADICTORY TO ORIGINAL AIM - did not bring better America

• Possible onset of instability into the great depression

• Community response: apathy, disrespecting authority, little trust in legal + political system.

Immigration:

• Immigrants drawn to US from promises of freedom, opportunity and wealth their homelands could not provide.

• 1920: 5000 immigrants a day from Europe - ever aspect of their character was analysed (determined if they were good enough to be accepted)

• Immigration Act 1924 reduced quota 2% using 1890 census - favoured Western European migrants, tightened restrictions on Asian immigrants (NONE)

• Total limited to 357 000 - 1/3 of prewar intake

• Eugenics - theory of improving genetic characteristics controlling reproduction -(selective breeding)

• “America must remain America” and “human parasites”

Immigration Quote:

 “ America must remain America” - President Calvin Coolidge

‘human parasites’ - representing common belief at the time, anti-immigration mindset.

Immigration - SIMPLE FACTS

• 1920: 5000 immigrants a day from Europe

• Immigration Act 1924 reduced quota 2% using 1890 census

• Total Immigration limited to 357 000 people - 1/3 of prewar intake

Segregation (African Americans):

• Slavery abolished in the US by the 13th Amendment (6th December 1865)

• The KKK reinforced their inferior position in society

• Experiences of racism, segregation and poverty resulted in the ‘great migration’ - large numbers of AA moved to the northern states.

• Harlem in New York was home to more than 200,000 African Americans.

• Segregation on public transport, in schools, marriage, bars, cinemas..

• Supreme Court found that segregation was legal as long as facilities were ‘separate, but equal’

Ku Klux Klan:

• Powerful christian extremist, white supremacist group 1920s-1970s

• Membership exceeded 5 million between 1920-1925 (most powerful) - prevalent south and mid-west US.

• Targeted groups that were perceived as a threat to Americanis - African Americans, Catholics, Jews and Immigrants

• *KKK beliefs were supported by Government Policy

• Lynch - hanging of African Americans (typically from trees)

Women:

• Women continued within workforce post WWI - stigma remained

• Jobs such as; sales, office work, domestic and factory work

• 1930, 29% of married women in the US were in the paid workforce.  

• Increased freedoms, right to vote, attend university, work, financial freedom

• Personal liberty and physical freedom - from less restrictive clothing (pants, short hair)

• Embraced spirit of the 20s - Pleasure, independence, exploration and freedom.

Consumerism (Cause of Escapism, Cause of Great Depression):

• Industrial growth led to high wages for workers and cheap products for Americans to buy.

• The 1920s saw a burst of personal prosperity and consumer spending.

• Strive for American Dream

• Post war period of celebration

Culture in 1920’s (Escapism, Societal Groups) - Flim, music, radio

Film:

• 95 million cinema tickets a week were being sold, 1922-1927 – 40-90% of the American population went to the movies. Rise of Hollywood (talkies), emerging stars (Walt Disney)

Music:

• By 1925 at least 100 bands played Jazz music across America - association with alcohol in such bars (community connection)

• Fuelled the growth of the record industry

• Harlem Renaissance, Harlem NYC - African Americans community where they could be themselves and freely express their culture. 

*Shift in purpose of music – pleasure not propaganda

Radio:

• Encouraged the mass adoption of radios in homes. 

• Allowed people to listen to a range of music, plays, news reports and sporting events within the comfort of their own homes. 

Display of leisure, shopping sport

Effects of Escapism: SIMPLE FACTS

• 95 million cinema tickets a week were being sold, 1922-1927 – 40-90%

• 1925 at least 100 bands played Jazz music across US.

Wall Street Crash:

Stock market crash - a sharp decline in U.S. stock market values that triggered global economic collapse.

• There was a wild rush to sell stocks, people lost all finances,

• Bank failures, business collapse and soaring unemployment destabilised society

Causes of the Great Depression:

• Banking system was already unstable in the 1920s.

• Citizens pursuing American dream, drain cash reserves

• Majority of banks did not have the financial resources to support demand, losing cash reserves and forcing their closure.

• People who did not withdraw savings in time lost everything.

• The collapse of the Banking system: 1929, 25,500 banks in the US; by 1933 only 14,700 open.

• The banks that remained open were reluctant to loan money.

• Wall Street Crash (October 1929)

Cause of the Great Depression: SIMPLE FACTS

• 600 banks collapsed after Stock Market Crash

• 1929, 25,500 banks in the US; by 1933 only 14,700 open.

• Wall Street Crash (October 1929)

Effect of Great Depression:

• Fall in consumption - businesses lost profits, cutting workers hours, pay cuts, firing workers. *EVENTUALLY BANKRUPT

• By 1930, 26 000 businesses and factories had closed

• (1932) - 10 million unemployed:

• 3 years - unemployment jumped from 3.2% to 25%

• National Income fell from US$104 billion in 1929 to US$59 billion in 1932.

• Homeless and loss of land significantly increased - desperation, makeshift housing, intentional arrest

• Malnutrition and ill-health became widespread

• Mental health decline, decline in education

African Americans and Immigrants: Increased discrimination, racial violence

Women: forced to leave jobs to prioritise ‘the role of the man’.

Effects of Great Depression: SIMPLE FACTS

• By 1930, 26 000 businesses and factories had closed

• 3 years - unemployment jumped from 3.2% to 25%

• (1932) - 10 million unemployed

• National Income fell from US$104 billion in 1929 to US$59 billion in 1932.

Government Response to Great Depression:

• Herbert Hoover was President during stock market crash.

• Believed it was up to the individual to help themselves - Little Government Support/ Interference

• Believed Gov. should take a ‘hands-off’ approach to the economy, and that the market crash damage would be contained.

• Promoted voluntarism— state Gov. + businesses should solve problems (low consumption + high unemployment) themselves.

• The sense that Hoover needed to do more to help ordinary Americans was evident.

• Homeless makeshift housing labeled ‘Hoovervilles’. Newspapers, used by the homeless called ‘Hoover blankets’.

New Deal:

• Roosevelt Elected 1932

• New Deal - mass legislative changes to stimulate economy

• First New Deal (1933-34)

• restored banking sector, large job creation

• Second New Deal (1935-36)

• 10 million still unemployed in 1935

• Social Security Act 1935 - introduced pensions, unemployment benefits

• Targeted vulnerable, Unemployment benefits

Great Depression Significance:

• Loss of wealth that created such a detrimental impact on ordinary citizens ultimately REGRESSING POSITIVE CHANGE and innovation of the 1920’s.

• Social movements spurred, hindering women's rights

• Gained freedom of African Americans reverted, immigrants restricted extremely severe, fostering white ideals.

Sigificance of Culture, Escapism (classes and leisure)

• Investment in stock market, for middle class Americans, withdrawing savings to achieve new found lifestyle

*Inevitable build up to eventual economic crisis - Great Depression

• Women and African Americans, new rights (flappers and music culture)