Module 7 AMH 2020

How did World War I affect the economy of the 1920s?

there was a worldwide (not the Soviet Union) economic downturn

Were all sectors of the U.S. economy prosperous during the 1920s? Why or why not?

no, just farmers and brokers

What was the Stock Market Crash? Did it cause the Great Depression?

an abrupt drop in stock prices, not the sole reason

What caused the Great Depression? (World War I? Gold Standard? Federal Reserve?

Decentralized banking?)

the 1929 stock market crash, severe banking panics, and flaws in the international gold standard. The Federal Reserve’s failure to expand the money supply, strict adhering to the gold standard, and protectionist trade policies like the Smoot-Hawley Tariff worsened the downturn

How did World War I contribute to the onset of the Great Depression?

the war created a web of debts and reparations needed

What caused the collapse of the international financial system that was set up after World

War I?

banks running out of money, combination of bank panics, the rigidities of the gold standard, and the impossible debt structure created by the

How did countries respond to the Depression in ways that made it worse

Germany owed money to France and Britain. The U.S. was owed money from Britain and France. Countries worsened the Great Depression by adopting protectionist tariffs (like the U.S. Smoot-Hawley Tariff) that caused a global trade collapse, sticking to the inflexible gold standard, and pursuing austerity (cutting government spending) rather than stimulating the economy. These actions reduced global trade and money circulation, prolonging the crisis.

How did Herbert Hoover respond to the Great Depression?

promote associationism and provided loans to private corporations and sectors

How did Franklin D. Roosevelt respond to the Great Depression?

New Deal policies that stabilized the bank system, mobilize American support, and federal housing

How was the United States able to remain a democratic country rather than turn to

communism or fascism?

stabilized banks and created programs to help out the people

n the Yawp section, what is the main theme? What was the overall goal of the programs

implemented by FDR’s administration?

providing employment, lowering farmer demand, federal housing, relief for suffering Americans

Could FDR pass legislation on his own, or did he need Congress?

he needed congress to pass legislation

What did a business have to do in order to display the NRA’s Blue Eagle?

provide reasonable wages and hours, end child labor, and allow workers the right to unionize

What did “red revolution” mean?

a socialist or communist revolution

What is a property-owning democracy?

state institutions enable a fair distribution of productive property across the populace generally; against private corporations and businesses

Why did the United States want to create a property-owning democracy?

reverse the corruption of political power by redistributing property across a great proportion of society

How did the United States create a property-owning democracy?

government reduced the risk for private saving and loan banks

What is redlining?

refuse a loan or insurance to someone because they live in an area deemed to be a poor financial risk

What group was excluded?

Blacks or minorities

What were the consequences of that exclusion?

there was five days of rioting where the city went up in flames

What is the National Archives?

an independent agency charged with the preservation and documentation of government and historical records

When was it established, and who worked to create it?

June 1934; FDR

How do the National Archives and its holdings demonstrate that the United States remained a

democratic country during the Great Depression?

dictatorships would withhold such info; a democracy allows to the good and bad history

What signs might indicate that a country is no longer democratic?

political freedom on decline, democracies challenged within, elected leaders falling, corruption, weak voter participation