APUSH Chapters 24/25

Dust Bowl

A large area of the Great Plains stretching north from Texas into the Dakotas that experienced one of the worst droughts in American history beginning in 1930, lasting for a decade

The drought turned what had once been fertile farm regions into deserts, with soil in Kansas without moisture as far as three feet below the surface and summer temperatures averaging over 100 degrees

Great dust storms called "black blizzards" swept across the plains, blotting out the sun and suffocating livestock and people

Swarms of grasshoppers moved from region to region, devouring meager crops and even fenceposts or clothes hanging out to dry

Hoovervilles

Shantytowns that unemployed people established on the outskirts of cities, named by Americans who held President Hoover personally to blame for the economic crisis

Families lived in makeshift shacks constructed of flattened tin cans, scraps of wood, abandoned crates, and other debris

These settlements became symbols of the nation's failure to deal effectively with the Depression

The name reflected the widespread belief that Hoover was responsible for their suffering

Reconstruction Finance Corporation

A government agency established in January 1932 to provide federal loans to troubled banks, railroads, and other businesses, and to make funds available to local governments for public works and relief efforts

It had a budget of $1.5 billion for public works in 1932, but lent funds only to financial institutions with sufficient collateral, so much money went to large banks and corporations

At Hoover's insistence, it financed only public works projects that promised to pay for themselves (toll bridges, public housing, etc.)

The RFC failed to make a real impact—of $300 million available for local relief, it lent only $30 million in 1932, and released only 20 percent of its $1.5 billion public works budget

Smoot-Hawley Tariff (Tariff Act of 1930)

Also known as the Hawley-Smoot Tariff, it increased protection on seventy-five farm products in an attempt to protect American farmers from international competition

Hoover used this tariff to raise agricultural tariffs and help struggling farmers

The tariff actually harmed the agricultural economy by stifling exports of food

It did not ultimately help American farmers significantly and contributed to international economic problems

Volunteerism

Hoover's first response to the Depression, attempting to restore public confidence by saying "The fundamental business of this country, that is, production and distribution of commodities, is on a sound and prosperous basis"

He summoned leaders of business, labor, and agriculture to the White House and urged them to adopt a program of voluntary cooperation for recovery

He implored businessmen not to cut production or lay off workers and talked labor leaders into forgoing demands for higher wages or better hours

By mid-1931, economic conditions had deteriorated so much that the modest structure of voluntary cooperation he had erected collapsed

Black Tuesday

October 29, 1929, the day when all efforts to save the stock market failed

Sixteen million shares of stock were traded, the industrial index dropped 43 points, and stocks in many companies became worthless

The market remained deeply depressed for more than four years after this crash

Many believed the crash was the beginning and cause of the Great Depression, but the Depression had earlier beginnings and more important causes

Scottsboro Case

In March 1931, nine black teenagers were taken off a freight train near Scottsboro, Alabama, arrested for vagrancy and disorder, then accused of rape by two white women who had been on the train

Despite overwhelming evidence that the women had not been raped (they may have made accusations out of fear of arrest), an all-white Alabama jury quickly convicted all nine "Scottsboro boys" and sentenced eight to death

The Supreme Court overturned the convictions in 1932, and new trials began with help from the International Labor Defense (associated with the Communist Party) and later the NAACP

The trials continued throughout the 1930s, and though white Southern juries never acquitted any defendants, all eventually gained freedom—the last did not leave prison until 1950

Election of 1932

Republicans renominated Herbert Hoover, but the gloomy convention made it clear few believed he could win, while Democrats jubilantly nominated Franklin Roosevelt, governor of New York

Roosevelt won by a landslide with 57.4 percent of the popular vote to Hoover's 39.7 percent

Hoover carried only Delaware, Pennsylvania, Connecticut, Vermont, New Hampshire, and Maine—Roosevelt won everything else

Democrats won majorities in both houses of Congress, creating a broad and convincing mandate for change

The "Interregnum"

The period between the election and inauguration (over four months in the early 1930s) was a season of growing economic crisis

Hoover tried to get Roosevelt to pledge to maintain policies of economic orthodoxy in a series of brittle exchanges, but Roosevelt genially refused

In February, a month before inauguration, the American banking system's collapse accelerated—public confidence ebbed, depositors withdrew money in panic, and banks closed

March 4, 1933, was a day of economic crisis and personal bitterness, as Hoover rode glumly down Pennsylvania Avenue with a beaming Roosevelt, convinced the nation was headed for disaster

Okies

Hundreds of thousands of families from the Dust Bowl, often known as ____ since many came from Oklahoma

They traveled to California and other states seeking better conditions but found situations little better than what they had left

Many worked as agricultural migrants, traveling from farm to farm picking fruit and other crops at starvation wages

They represented the displaced and desperate farmers fleeing the environmental disaster of the Great Plains

Bonus Army

More than 20,000 World War I veterans who marched to Washington in June 1932 as the self-proclaimed Bonus Expeditionary Force, demanding immediate payment of a $1,000 bonus Congress had approved in 1924 for payment in 1945

They built crude camps around the city and promised to stay until Congress approved immediate payment, but Hoover rejected their appeal due to budget concerns

After some veterans departed when Congress voted down their proposal, many remained, and in mid-July Hoover ordered police to clear them from abandoned federal buildings; two veterans died when someone opened fire

General MacArthur greatly exceeded Hoover's orders, leading troops with tanks down Pennsylvania Avenue, burning the veterans' tent city, and injuring over 100 marchers

This incident was perhaps the final blow to Hoover's political standing

Herbert Hoover

Began his presidency in March 1929 believing the nation faced a bright future and attempted to expand policies from his eight years as secretary of commerce

His first Depression response was restoring public confidence and urging voluntary cooperation, but by mid-1931 this approach had collapsed due to deteriorating conditions

He proposed increases in federal public works and the Agricultural Marketing Act, but became less willing to increase spending as conditions worsened, even proposing a tax increase in 1932 at the Depression's depth

His reserved personality reinforced his image as aloof and unsympathetic, and as "The Great Engineer" of the 1920s, he became a symbol of failure; he lost the 1932 election in a landslide

Franklin Roosevelt

A Hudson Valley aristocrat, distant cousin of Theodore Roosevelt, married to Theodore's niece Eleanor (1904), who progressed from New York State legislature to assistant secretary of the navy to vice presidential nominee in 1920

Stricken with polio less than a year after the 1920 election, he never regained use of his legs but built up strength to return to politics in 1928, becoming New York governor when Al Smith ran for president

As governor he initiated positive government assistance programs, presenting himself as more energetic and imaginative than Hoover while avoiding divisive cultural issues and emphasizing economic grievances

In a dramatic break with tradition, he flew to Chicago to accept the nomination in person, promising "a new deal for the American people"; he won 57.4 percent of the popular vote in a landslide victory

The New Deal

Roosevelt's ambitious program of legislation to address the Depression and restore confidence in the financial system

Created a "broker state" where the federal government mediated between competing interest groups (business, labor, farmers, consumers)

Enhanced federal government power and established the presidency as the preeminent center of authority

Created the basis of the federal welfare state through relief programs and Social Security

Turned the Democratic Party into a dominant coalition for over thirty years

Never fully ended the Depression (World War II did), but had lasting effects on economy and government

"Second New Deal" launched spring 1935 in response to political pressures and continuing economic crisis, shifting emphasis to more openly attack corporate interests

Emergency Banking Act

Sent to Congress on March 9, 1933, three days after the bank holiday; passed within four hours

Generally conservative bill drafted partly by Hoover administration holdovers

Provided for Treasury inspection of all banks before reopening, federal assistance to troubled institutions, and reorganization of banks in greatest difficulty

Helped dispel panic; three-quarters of Federal Reserve banks reopened within three days and $1 billion in hoarded currency flowed back within a month

Agricultural Adjustment Act (AAA)

Passed May 1933 to reduce crop production, end agricultural surpluses, and halt downward spiral of farm prices

The AAA told farmers how much to produce and paid them subsidies for leaving land idle; a tax on food processing provided funds

Covered seven basic commodities: wheat, cotton, corn, hogs, rice, tobacco, and dairy products

Helped increase gross farm income by half in first three years but favored larger farmers over smaller ones and distributed payments to landowners, not workers

Supreme Court struck it down in January 1936; replaced by Soil Conservation and Domestic Allotment Act

National Recovery Administration (NRA)

Federal agency created by National Industrial Recovery Act (June 1933) under Hugh S. Johnson

Called on businesses to accept "blanket code": 30-40 cents/hour minimum wage, 35-40 hour maximum workweek, abolition of child labor

Johnson negotiated specific codes with major industries setting price and wage floors, but codes were hastily written and favored large producers

Industrial production actually declined after establishment (index from 101 in July 1933 to 71 in November)

Supreme Court struck down NRA in 1935 (Schechter case), ruling it unconstitutionally delegated legislative power to president

Tennessee Valley Authority (TVA)

Created May 1933 as unprecedented experiment in regional planning spanning seven states

Completed dam at Muscle Shoals, Alabama and built others to generate and sell electricity at reasonable rates

Also stopped flooding, encouraged local industries, supervised reforestation, and helped farmers improve productivity

Provided electricity to thousands who never had it; private power rates declined due to TVA's "yardstick" of cheap electricity

Region remained generally impoverished and TVA made no effort to challenge local racial prejudices

Glass-Steagall Act

Passed June 1933 to increase federal authority over banking

Gave government authority to curb irresponsible bank speculation and established wall between commercial and investment banking

Established Federal Deposit Insurance Corporation (FDIC), guaranteeing bank deposits up to $2,500

1935 banking act transferred authority from regional Federal Reserve banks to Federal Reserve Board in Washington

Securities & Exchange Commission (SEC)

Established June 1934 to police the stock market

Followed Truth in Securities Act of 1933, which required corporations to provide full, accurate information about new securities

Establishment indicated how far financial establishment had fallen in public estimation after criminal trials of Wall Street figures

Civilian Conservation Corps (CCC)

Established in first weeks of administration; Roosevelt's favorite relief project

Provided employment to millions of young men who couldn't find jobs in cities

Created camps in national parks, forests, and rural settings where men worked on projects like planting trees, building reservoirs, developing parks, and improving irrigation

Women largely excluded; camps were racially segregated with vast majority restricted to white men

Part of government's focus on work relief for men rather than cash assistance

Townsend Plan

Plan created by Dr. Francis E. Townsend, elderly California physician, for federal pensions for the elderly

Proposed all Americans over age sixty receive $200 monthly government pensions, provided they retired (freeing jobs for younger unemployed) and spent money in full each month (pumping funds into economy)

By 1935, attracted support of more than 5 million members, many of them older Americans

Plan defeated in Congress in 1935, but public sentiment behind it helped build support for Social Security system

Social Security Act

Passed 1935 with Roosevelt's public support; Supreme Court validated it in May 1937

Created two types of assistance for elderly: immediate federal assistance up to $15/month for presently destitute, and pension system funded by payroll tax contributions from workers and employers

Pension payments wouldn't begin until 1942 and would provide only $10-$85/month; domestic servants and agricultural laborers excluded

Created unemployment insurance system financed by employers alone for workers laid off from jobs

Established limited system of federal aid to people with disabilities and program of aid to dependent children

Framers wanted to create system of "insurance" not "welfare"; largest programs similar to private insurance but also provided direct assistance based on need

Marked historic break with federal government's traditional reluctance to offer public assistance to neediest citizens

Wagner Act & the National Labor Relations Board (NLRB)

National Labor Relations Act of 1935, introduced by Senator Robert F. Wagner of New York after Supreme Court struck down Section 7(a) of NIRA

Provided workers with crucial enforcement mechanism: the National Labor Relations Board, which had power to compel employers to recognize and bargain with legitimate unions

Roosevelt not entirely happy with bill but signed it anyway, recognizing American workers had become important political force

Supreme Court upheld Wagner Act in 1937 by 5-to-4 margin

Works Progress Administration (WPA)

Established 1935 under Harry Hopkins as system of work relief for unemployed, much bigger than earlier agencies

Budget of $5 billion in first two years; kept average of 2.1 million workers employed

Built or renovated 110,000 public buildings, constructed almost 600 airports, over 500,000 miles of roads, and over 100,000 bridges

Showed flexibility with Federal Writers' Project, Federal Arts Project, Federal Music Project, and Federal Theater Project for unemployed artists

Roosevelt cut WPA in half between January-August 1937, laying off 1.5 million workers while trying to balance budget

Routinely relegated black, Hispanic, and Asian workers to least-skilled, lowest-paying jobs or excluded them; nonwhites and women first dismissed when funding ebbed

Part of government's work relief system primarily designed for men

"Bank Holiday"

March 6, 1933 (two days after taking office), Roosevelt closed all American banks for four days so Congress could consider banking reform

Roosevelt euphemistically called it a "bank holiday"

Created general sense of relief due to panic about bank failures; immediate banking crisis ended after banks reopened

Memorial Day Massacre

Occurred Memorial Day 1937 in South Chicago during strike against Republic Steel (part of "Little Steel")

Group of striking workers from Republic Steel gathered with families for picnic and demonstration

When they attempted to march peacefully and legally toward steel plant, police opened fire on them

Ten demonstrators killed, ninety wounded; despite public outcry against massacre, harsh tactics succeeded and 1937 strike failed

One of last gasps of brutal strikebreaking that had been effective in past

Court Packing Scandal

February 1937, Roosevelt proposed adding up to six new justices to Supreme Court (one for every sitting justice over age 70)

Claimed courts were "overworked" but real purpose was to appoint liberal justices and change Court's ideological balance after Court struck down NRA and AAA

Conservatives outraged; even Roosevelt supporters disturbed by his apparent hunger for power

Supreme Court shifted to more moderate position, upholding state minimum-wage law (West Coast Hotel v. Parrish), Wagner Act, and Social Security Act

Congress defeated the bill; episode did lasting political damage and Southern Democrats voted against Roosevelt much more often afterward

Roosevelt Recession of 1937

By summer 1937, gross national product had risen from $40 billion (1932) to nearly $72 billion

Roosevelt tried to balance budget, convinced by Treasury Secretary Morgenthau that inflation was now the danger

Cut WPA in half (1.5 million laid off) and made other spending cuts between January-August 1937

Fragile boom collapsed; industrial production dropped from 117 (August 1937) to 76 (May 1938); 4 million more lost jobs

Conditions soon almost as bad as 1932-1933

Franklin D. Roosevelt

President who took office in 1933; much success due to ebullient personality and infectious optimism

In inaugural address said "only thing we have to fear is fear itself" and promised warlike action against emergency

First president to regularly use radio through "fireside chats" explaining programs to people

Held frequent press conferences; journalists agreed never to photograph him in wheelchair—most public unaware his legs were completely paralyzed

Enjoyed remarkable popularity during first two years but New Deal became target of fierce criticism by spring 1935

Never willing to risk losing Southern Democratic support by backing anti-lynching legislation or poll tax ban

Appointed black officials to second-level positions but didn't make race a significant part of agenda

Won greatest landslide in American history in 1936 (61% vs. 36%), carrying every state except Maine and Vermont

By mid-1936, with economy visibly reviving, reelection seemed assured

Huey Long

Senator from Louisiana who rose to power through strident attacks on banks, oil companies, utilities, and conservative political oligarchy

Elected Louisiana governor 1928; launched thorough assault leaving opponents with virtually no political power (critics claimed he became dictator)

Maintained overwhelming support due to flamboyant personality and progressive accomplishments: building roads, schools, hospitals; revising tax codes; distributing free textbooks; lowering utility rates

Elected to U.S. Senate 1930; initially supported Roosevelt in 1932 but broke with him within six months

Created Share-Our-Wealth Plan proposing government use tax system to confiscate surplus riches of wealthiest Americans and redistribute to rest of population

Claimed this would guarantee every family minimum "homestead" of $5,000 and annual wage of $2,500

Established Share-Our-Wealth Society in 1934; Democratic poll in spring 1935 showed he might attract over 10% of vote as third-party candidate

Assassinated in Louisiana in September 1935, which weakened dissident challengers to Roosevelt

Charles Coughlin

Catholic priest in Royal Oak, Michigan suburb of Detroit who achieved great renown through weekly sermons broadcast nationally over radio (launched 1926)

Had one of largest regular radio audiences in America

Initially known as advocate for changing banking and currency systems; proposed monetary reforms (remonetization of silver, issuing greenbacks, nationalization of banking)

At first warm supporter of Roosevelt but by late 1934 became disheartened by president's alleged failure to deal harshly with "money powers"

Established National Union for Social Justice in spring 1935

Later became notorious for sympathy for fascism and outspoken anti-Semitism

Joined with Townsend and Gerald L.K. Smith to form Union Party in summer 1936, which received fewer than 900,000 votes

Eleanor Roosevelt

Spoke throughout 1930s on behalf of racial justice and pressured husband to ease discrimination against African Americans

Committed advocate of women's rights and champion of humanitarian causes

Resigned from Daughters of American Revolution when they refused Marian Anderson permission to perform; helped secure permission for Anderson's Lincoln Memorial concert (Easter Sunday 1939, 75,000 attended)

Influential in securing federal appointments for women

John Collier

Commissioner of Indian affairs; former social worker committed to Native American causes after exposure to tribal cultures in New Mexico (1920s)

Influenced by anthropologists promoting cultural relativism, which challenged assumption that Native Americans were "savages"

Promoted Indian Reorganization Act of 1934, which restored tribes' right to own land collectively (reversing 1887 allotment policy)

After 1934, tribal land increased by nearly 4 million acres and agricultural income rose from under $2 million (1934) to over $49 million (1947)

Frances Perkins

First female cabinet member in nation's history (Secretary of Labor)

Emerged from progressive era feminist tradition emphasizing special protections for women rather than gender equality

Instrumental in creating support for and shaping Social Security Act of 1935, including Aid to Dependent Children program

Built into Social Security bill her own notion of women's special place in male-dominated economy