transformation of modern america

smoot-hawley tariff

a 1930 u.s. law that significantly raised import duties on hundreds of goods to protect american businesses and farmers during the early stages of the great depression. intended to stimulate the domestic economy, the act resulted in massive retaliatory tariffs from other countries, causing international commerce to collapse and exacerbating the global economic downturn.

the new deal

a series of programs and policies enacted by fdr between 1933 and 1939 to provide relief, recovery, and reform in response to the great depression. the programs fundamentally expanded the federal government’s role in the economy and society, and many of its creations still exist today. it represented a significant departure from the previous laissez-faire approach, shifting towards greater government intervention in the economy and society.

the great depression

a severe, global economic downturn that lasted from 1929-the early 1940s. sparked by the 1929 stock market crash in the united states, it caused a cascade of bank failures, mass unemployment, and a sharp decline in industrial production and international trade worldwide. the economy did not fully recover until the massive increase in manufacturing and government spending that accompanied the start of world war ii.

the civilian conservation corps

a new deal program created to provide work to unemployed young men during the great depression by developing and conserving natural resources and building infrastructure in public parks and forests. employees had to send $25 of their $30 monthly pay to their families.

the works progress administration

a new deal program created to provide jobs during the great depression, employing millions in a wide range of public works projects, arts, and community programs. the agency built roads, schools, and parks. the primary goal of the wpa was to create meaningful work for millions of unemployed americans to provide income and stimulate the economy.

federal project number one

a section of the wpa during the great depression, designed to provide employment for artists, writers, musicians, and actors. it consisted of four programs: the federal art project, the federal writer’s project, the federal music project, and the federal theatre project. these projects not only employed unemployed professionals in the arts but also made art accessible to the broader public.

hoovervilles

makeshift shantytowns of the unhoused that arose across the united states during the 1930s, a direct result of the widespread economic devastation caused by the great depression. these communities were built from scavenged materials and were named after president herbert hoover, whose insufficient relief efforts were perceived as a failure to address the crisis

national recovery act

established the national recovery administration to promote economic recovery by setting up codes of fair competition for various industries, including minimum wages and maximum hours for workers. the nra was a key part of fdr’s new deal to combat the great depression but was declared unconstitutional by the supreme court due to too much expansion of presidential power.

the black belt 

a region of the u.s. with fertile soil and a high african-american population that experienced severe economic hardship due to plummeting cotton prices, increased farm foreclosures, and the new deal’s agricultural adjustment act. while the national unemployment rate was 25%, it reached 50% for african-americans, leading to intensified poverty, widespread malnutrition among sharecroppers living in dire conditions, and resistance efforts.

the lend lease act

a 1941 u.s. law allowing the president to lend or lease war supplies to any nation whose defense was deemed vital to american security, effectively abandoning strict neutrality to support the allies in world war ii. the program provided billions of dollars in military and economic aid-including weapons, food, and raw materials-to countries like great britain and the soviet union.

bank holiday

during the great depression, fdr declared a national bank holiday to halt bank runs and stabilize the nation’s failing banking system. the closure, effective for a few days, allowed banks to be examined for soundness. viable banks were then reopened with government oversight, restoring public confidence and leading to a significant return of hoarded cash to the system.

the federal deposit insurance corporation

an independent u.s. government agency created to maintain stability and public confidence in the nation’s financial system by insuring deposits up to $250,000, supervising banks for safety and soundness, and resolving failed banks. the fdic was created to combat the bank failures of the great depression.

redlining

a discriminatory practice of denying mortgages, loans, and other financial services to residents of specific neighborhoods based on their racial or ethnic identity. this practice began under new deal housing programs and cemented racial segregation and economic inequality for generations.

-a map based guide that allows realtors and banks to see where risky areas of the real estate market exist. tool of the homeowner’s loan corp-financial organization created under new deal. significantly impacted minority groups b/c areas that were high risk were typically areas of large minority populations/low income areas.

glass-steagall act

the act forced commercial banks to refrain from investment banking activities to protect depositors from potential losses through stock speculation. the act aimed to prevent a repeat of the 1929 stock market crash and the wave of commercial bank failures

treaty of versailles

a peace treaty signed by germany and the allied powers that officially ended world war i. it imposed severe terms on germany, including territorial losses, demilitarization, disarmament, and significant reparations, and established the league of nations. while the treaty aimed to create lasting peace, its harsh conditions, particularly the “war guilt clause” and the economic burden of reparations, fueled resentment in germany and contributed to the rise of extremist ideologies and the eventual outbreak of world war ii.

pump and dump

a type of market manipulation where a group of investors artificially inflated a stock’s price, or “pumped” it, through misleading claims. once the price was sufficiently high, they would then “dump” their own holdings, selling the overvalued shares for a profit. the resulting sell-off caused the stock’s price to plummet, leaving uninformed investors with significant losses, and this practice ultimately contributed to the market instability leading up to the 1929 crash.

-wealthy investors bought stock to pump it

sharecropping/tenant farming

systems where farmers, often poor and landless, worked land they did not own for a landlord. sharecroppers were typically the poorest, relying on landowners for seeds, tools, and supplies, which kept them in a cycle of perpetual debt. tenant farmers had slightly more economic freedom as they usually owned their own equipment and paid rent with a portion of the crops or cash, but low crop prices and economic hardship still forced many into a similar cycle of dependency.