Great Depression

Speculation

People investing in something they think will be valuable

Bank run

When everyone ran to the banks to withdraw their money when the stocks crashed

Margin Buying

Bought stocks on debt

Relief

Immediate help, gave food, jobs, and welfare (Ex: Bread Lines)

Recovery

Helped the economy recover by reducing unemployment and increasing government spending (Ex: National Recovery Administration)

Reform

Long-term problems in economy, prevent another depression (Ex: Securities and Exchange Commission)

Public Works Project

Anything that benefited the public, gave people jobs

Hoovervilles

Places that people lived during the Great Depression, houses made of garbage, blamed President Hoover for their situation

Which New Deal program focused of creating jobs through building projects like roads and bridges?

Public Works Project

What was one major cause of the Great Depression?

Investing in stocks, buying on credit

Why did many banks collapse in the early 1930s?

Because everyone came to withdraw their money

What did the Social Security Administration provide for Americans?

Provided money to retired and unemployed

What approach did Herbert Hoover take at the beginning of the Great Depression?

Issued RFC loans and waited for money to trickle down to poor

Which event is most closely associated with the start of the Great Depression?

The Stock Market Crash

What was the main purpose of the Federal of the Federal Deposit Insurance Corporation?

To insure money in banks to get people to trust banks again

Describe two ways the Great Depression impacted daily life for Americans

1. People had to live off food from bread lines

2. Had to live in rundown places

How did the federal government work to make banks more stable?

Created the FDIC closed banks for a while, built trust with people and banks

What challenges did farmers face during this time period?

The Dust Bowl and many got rid of share croppers on their land

Give two examples of how New Deal Programs directly helped people

1. Gave people jobs

2. Provided safety nets for people who were needy

How did the New Deal change the role of the federal government?

It allowed the government to take responsibility for caring for their people