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Stock Market Crash (Oct. 1929)
Cause: Rampant speculation & “buying on margin”
Effect: Panic selling → bank failures → skyrocketing unemployment
The Dust Bowl
Cause: Severe drought + poor soil conservation in the Plains
Effect: “Okie” migration to CA; spurred federal soil‐management programs (Soil Conservation Service)
Bonus Army (1932)
Cause: WWI vets demanded early payment of promised bonuses
Effect: Hoover’s ordering of army to disperse protesters damaged his public image
4. Hoover vs. Roosevelt Economic Policy
Policy | Hoover | FDR |
---|---|---|
Philosophy | “Rugged individualism,” limited relief | Government must actively provide relief |
Key Action | Reconstruction Finance Corp. | New Deal’s 3 R’s (Relief, Recovery, Reform) |
The New Deal (1933–1939)
Causes: Deepening Depression; demand for federal action
Key Effects:
Expanded federal power & welfare state
Set precedents for social safety nets
Alphabet Agencies
CCC/TVA/WPA/AAA/NRA…
Cause: Need to employ millions, rebuild infrastructure
Effects:
CCC: reforestation & youth jobs
TVA: rural electrification & flood control
WPA: roads, schools, artistic projects
Social Security Act (1935)
Cause: Elderly poverty + unstable incomes
Effect: Started federal old-age pensions, unemployment insurance
Court-Packing Plan (1937)
Cause: Supreme Court striking down New Deal laws
Effect: Public backlash; preserved Court’s independence but slowed further reforms
Fireside Chats
Cause: Restore public confidence
Effect: Forged direct bond between FDR and Americans → bolstered support for New Deal
Isolationism & Neutrality Acts
Cause: WWI disillusionment
Effect: 1930s laws banning arms sales/loans to warring nations delayed U.S. entry
Lend-Lease Act (1941)
Cause: Aid Britain & USSR without direct war declaration
Effect: Shift from neutrality → de facto involvement; set stage for full mobilization
Four Freedoms Speech (1941)
Cause: Justify support for Allies; promote idealism
Effect: Shaped postwar goals (UN Charter); boosted morale & war bond sales
Pearl Harbor (Dec. 7, 1941)
Cause: Japanese reaction to U.S. embargo on oil/supplies
Effect: U.S. war declaration → unified public support for WWII
Women on the Home Front
Cause: Male enlistment created labor shortages
Effect: “Rosie the Riveter” → permanent shift in public attitudes toward working women
African Americans in WWII
Cause: Segregated armed forces & wartime labor needs
Effect: “Double V” campaign; laid groundwork for Civil Rights Movement
Japanese American Internment
Cause: Wartime fear & racism after Pearl Harbor
Effect: 120,000 forced into camps; later official apology & reparations (Civil Liberties Act, 1988)
Bracero Program (1942–1964)
Cause: Acute farm-labor shortage
Effect: Millions of Mexican laborers brought in → long‐term demographic shifts & labor debates
Manhattan Project & Atomic Bomb
Cause: Race to build bomb before Nazi Germany/Japan
Effects:
Aug ’45: Hiroshima & Nagasaki → Japanese surrender
Dawn of nuclear era; beginning of Cold War arms race