Unit 7B

1. What were the effects of the Red Scare after World War I?

The government launched a nationwide campaign against suspected communists and radicals (1919–1920).

Attorney General A. Mitchell Palmer arrested about 6,000 suspected radicals (“Palmer Raids”).

Immigrants were deported, including 249 people on the “Soviet Ark.”

Many states passed criminal syndicalism laws that punished people for advocating radical ideas.

Labor unions were accused of being “communist,” which weakened union power.

Increased fear and suspicion toward immigrants and political dissenters.

2. How did the Ku Klux Klan of the 1920s differ from the Reconstruction-era KKK?

The Reconstruction KKK mainly targeted Black Americans in the South.

The 1920s KKK was much larger (about 5 million members) and targeted many groups: immigrants, Catholics, Jews, Blacks, evolutionists, and more.

It acted more like an anti-modern, nativist movement than just an anti-Black terrorist group.

It had a huge social/political presence with parades, rituals, and widespread influence—but collapsed due to scandals and corruption.

3. What were the provisions and purpose of the Immigration Act of 1924?

Provisions:

Cut immigration quotas from 3% to 2% of the 1890 population of each nationality.

Favored northern/western Europeans.

Banned Japanese immigration completely.

Allowed unlimited immigration from Canada & Latin America.

Purpose:

To limit “New Immigrants” from southern and eastern Europe.

To preserve America’s “racial” and ethnic makeup as mostly northern European.

Reflected strong nativist/anti-foreign attitudes.

4. What were the effects of Prohibition?

Negative effects:

Rise of bootlegging and speakeasies.

Growth of organized crime (Al Capone).

Corruption among police and government officials.

Dangerous homemade alcohol caused injuries and deaths.

Law was widely ignored and hard to enforce.

Positive effect:

Slight decrease in overall alcohol consumption.

Bank savings rose and worker absenteeism decreased somewhat.

5. What was the significance of the Scopes Trial?

A 1925 court case in Tennessee where teacher John Scopes was tried for teaching evolution.

Represented the conflict between modern science and traditional religious beliefs.

Although Scopes was found guilty, the trial made fundamentalists look outdated and weakened their national influence.

Showed the cultural divide between urban modernism and rural traditionalism.

6. How did advertising and the installment plan change American culture?

Advertising:

Encouraged people to buy more by using persuasion and emotional appeals.

Helped create a consumer culture focused on wants instead of needs.

Sports stars and celebrities became used to sell products.

Installment plan (“buy now, pay later”):

Allowed average Americans to buy cars, radios, appliances, etc.

Increased consumer spending but also personal debt.

Helped fuel the booming 1920s economy.

7. How did the automobile impact the economy and society?

Economic impacts:

Created millions of jobs (steel, rubber, glass, road construction).

Boosted oil industry and new service businesses (gas stations, garages).

Raised the standard of living.

Social impacts:

Increased mobility and freedom; people could live farther from work (suburbs grew).

Weakened isolation of rural areas.

Reduced localism—Americans traveled more.

Caused accidents and deaths, and helped enable quick getaways for criminals.

Changed dating culture (“a house of prostitution on wheels,” one judge said).

8. How did the radio impact life in the 1920s?

Brought families together at home for entertainment.

Helped standardize American culture—everyone heard the same music, news, and shows.

Boosted sports popularity.

Politicians used radio to reach mass audiences directly.

Allowed live broadcasting of major events.

Became a major advertising tool, spreading brand names nationwide.

9. What was the significance of the Harlem Renaissance?

A cultural and artistic movement centered in Harlem, NYC in the 1920s.

Celebrated African American culture through literature, music (especially jazz), art, and poetry.

Key figures included Langston Hughes, Zora Neale Hurston, Claude McKay, Louis Armstrong.

Promoted the idea of the “New Negro,” meaning a Black American who was proud, outspoken, and demanded equality.

Increased visibility and pride within Black communities across the U.S.

10. What factors allowed big business to flourish during the 1920s?

Laissez-faire 2.0: The government avoided regulation and took a hands-off approach.

Pro-business federal policy: The government actively supported big business, giving tax cuts to corporations and wealthy Americans.

High protective tariffs (Fordney–McCumber Tariff): Kept out foreign competition and helped U.S. companies dominate the market.

End of trust-busting: Old antitrust laws remained, but presidents and courts no longer enforced them aggressively.

Limited support for labor: Weak labor unions meant lower wages and fewer strikes, keeping business profits high.

11. Why did the labor movement struggle after World War I?

Postwar recession: Returning veterans flooded the job market, creating competition and lowering wages.

Red Scare: Fear of communism/socialism made Americans suspicious of labor unions, many of which included immigrants.

Negative public opinion: Unions were associated—fairly or unfairly—with radicalism and violence.

Lack of government support: Presidents and courts did not side with labor; several pro-labor laws were overturned by the Supreme Court.

12. What were the provisions of the Adjusted Compensation Act? Why did Coolidge veto it?

Provisions:

Provided bonus payments to World War I veterans for their wartime service.

Bonuses were set to be paid at a later date (not immediately).

Why Coolidge vetoed it:

He opposed increased government spending.

He objected to the cost, not the principle—he was fiscally conservative and didn’t want the U.S. going into debt.

13. What were the provisions of the McNary–Haugen Bill? Why did Coolidge veto it?

Provisions:

Aimed to help struggling farmers.

Proposed the government buy surplus crops and sell them abroad.

Intended to raise domestic farm prices by removing excess supply.

Why Coolidge vetoed it:

Again, he opposed the large price tag.

He did not want the federal government intervening heavily in the farm economy.

He believed it was too costly and not a proper role for the government.

14. What problems were facing farmers in the 1920s?

Overproduction: Farmers expanded during WWI (buying land and equipment), but demand collapsed after the war.

Falling prices: Too much supply + reduced demand created surpluses, driving prices down.

Heavy debt: Farmers took out loans for land and machinery during wartime, and now couldn’t pay them back.

Low profits: Even in good harvest years, farm families struggled to remain solvent.

15. According to Andrew Mellon, what were the arguments for lowering tax rates?

(From the lecture’s description of “tax breaks for businesses and the wealthy”)

Lower taxes would encourage investment and stimulate economic growth.

Wealthy Americans and corporations would reinvest their savings into new business ventures.

The government believed tax cuts would ultimately increase total revenue because the economy would grow faster.

16. What agreements were reached at the Washington Naval Conference?

Disarmament agreements between major naval powers.

The Five-Power Treaty set limits on battleship construction for the U.S., Britain, and Japan.

The Four-Power Treaty committed nations to respect each other’s Pacific territories.

The Nine-Power Treaty supported the Open Door policy in China.

Collectively, these treaties were aimed at preventing future war by limiting naval militarization.

17. What were the provisions of the Kellogg–Briand Pact?

Nations renounced war as an instrument of national policy.

Essentially declared that countries would not use war to settle disputes.

It was idealistic and lacked enforcement, but it reflected global hopes for “never again.”

18. Why did Great Britain and France struggle to repay their debts after World War I?

Their economies were devastated by four years of total war.

They could not sell goods to the U.S. because the Fordney–McCumber Tariff made foreign imports too expensive.

They relied on German reparations to repay their loans, but Germany was also economically crippled.

19. What were the provisions of the Dawes Plan? Why was it passed?

Provisions:

The U.S. would loan money to Germany.

Germany would use that money to pay reparations to Britain and France.

Britain and France would then pay back their war debts to the U.S.

It created a circular flow of money without solving the underlying economic issues.

Why it was passed:

To prevent a new conflict in Europe (“never again” mentality).

To keep France from invading Germany over unpaid reparations.

To stabilize the global economy—especially Germany’s.

20. What were the long-term causes of the Great Depression?

These were the fundamental, underlying problems of the 1920s economy—the causes—before the stock market crash (the spark).

Long-term causes:

Farmers’ ongoing struggles

Heavy debt from WWI.

Overproduction + falling crop prices.

No government support.

Overuse of installment buying

Americans buying goods they could not afford, using credit.

Creates consumer debt and unstable demand.

Growing gap between rich and poor

Prosperity was not evenly shared—some grew “millionaire rich,” others only “a little better.”

A sign the economy was fragile.

Weakness in key industries

Especially housing, which began declining late in the decade.

The housing industry is a key indicator of economic health.

Speculation and buying on margin

People jumping in and out of the stock market quickly (speculation).

Buying on margin (buying stock with borrowed money), inflating stock prices far beyond real value.

These were the red flags of an economy ready to collapse.

21. What was Hoover’s initial response to the Great Depression?

Hoover believed the federal government should act only as a facilitator, not a direct provider of relief.

He opposed federal welfare or direct aid, believing it would weaken people morally.

Expected private charities, business leaders, labor, and local governments to solve the crisis.

As a result, he did very little in the first year to year and a half after the crash.

Hoover’s response was guided by his belief in limited government, self-reliance, and voluntary cooperation—not direct federal intervention.

22. In what way was the Hoover Dam a success?

Although planned before the Depression, construction began during it and:

Provided thousands of desperately needed jobs when private businesses could not hire.

Became a model of effective federal public-works spending.

Inspired Roosevelt’s later New Deal philosophy of putting people to work through federal projects.

23. What was the purpose of the Reconstruction Finance Corporation (RFC)? To what extent was it successful?

Purpose of the RFC:

To loan money to banks, railroads, and large businesses.

Goal: stabilize the financial system and stop the economy from collapsing further.

Extent of its success:

Partially successful:

Saved banks and big companies, preventing a total economic freefall.

But:

Did not directly help ordinary Americans, who were hungry and homeless.

Cities and families saw little immediate relief.

The RFC helped the system, but not the people, which limited its political impact.

24. Why did the Bonus Army travel to Washington, D.C.? What was the significance of Hoover’s decision to forcibly evict them?

Why they came:

WWI veterans traveled with their families to demand early payment of their Adjusted Compensation Act bonus.

The bonus was scheduled for the 1940s, but the veterans needed the money during the Depression.

Congress refused, saying the government had no money to pay early.

Significance of Hoover’s eviction:

Hoover ordered the military to forcibly remove the Bonus Army after they refused to leave.

Their shantytown was burned, and tear gas injured several, including:

A child who was blinded.

An infant who died from exposure.

Although legal, the action was a public relations disaster:

Americans were horrified that the government used the army against veterans.

Hoover appeared cold, uncaring, and violent, confirming public anger toward him.

It effectively destroyed Hoover’s remaining political support and ensured Roosevelt’s landslide victory in 1932.

25. Significance of Roosevelt’s fireside chats

Roosevelt’s fireside chats were important because they restored public confidence in the banking system and created a direct, reassuring connection between the president and the American people. In his first chat, he explained why reopened banks were safe, helping end bank runs and rebuild trust.

26. Grounds for criticism of the New Deal

Father Charles Coughlin

Criticized FDR from the political right and later far right.

His radio broadcasts attacked the New Deal for not going far enough and became increasingly anti-New Deal, anti-Semitic, and demagogic.

Huey Long

Claimed the New Deal did not do enough to help the poor.

Proposed his “Share Our Wealth” plan, promising $5,000 per family by heavily taxing the wealthy.

Dr. Francis Townsend

Said FDR neglected the elderly.

Proposed giving every person over 60 $200 per month, to be spent immediately.

27. Causes and effects of the Dust Bowl

Causes

Severe drought and high winds beginning in 1933.

Overfarming and dry-farming techniques that tore up protective prairie grasses.

Mechanization (steam tractors, disk plows) that broke too much sod.

Effects

Massive dust storms (“black blizzards”).

Crops failed; farms were abandoned.

Some 350,000 “Okies” and “Arkies” migrated to California in search of work.

28. Provisions of the Indian Reorganization Act (1934)

Encouraged tribes to establish local self-government.

Sought to preserve Native traditions and crafts.

Helped stop the loss of tribal lands.

Revived Native cultural identity.

(Not all tribes accepted it—77 declined.)

29. Differences between the AFL and the CIO

AFL (American Federation of Labor)

Represented skilled craft workers only.

Hesitant to include unskilled or minority labor.

CIO (Committee/Congress for Industrial Organization)

Organized unskilled industrial workers (e.g., auto, steel).

Led militant sit-down strikes and aggressively sought mass-production workers.

30. Why Roosevelt proposed increasing the number of Supreme Court justices; why Congress refused

Why FDR proposed court expansion

The Court had struck down several New Deal laws.

FDR argued older justices were overworked and needed “new blood,” proposing to add up to six additional justices (one for every justice over age 70).

Why Congress refused

Seen as an attempt to “pack” the Court and upset checks and balances.

Critics feared Roosevelt was seeking dictatorial power.

Even many Democrats opposed the plan, viewing the Court as a “sacred cow.”

31. According to John Maynard Keynes, how should the government stimulate the economy?

Keynes argued that during downturns, the government should use deficit spending—increasing spending even if it requires borrowing—to stimulate demand and boost economic activity. Roosevelt formally adopted this approach only after the “Roosevelt recession” of 1937.

32. Provisions of the Hatch Act (1939)

Prevented federal administrative employees from engaging in active political campaigning.

Aimed to reduce political pressure and corruption in federal relief and administrative agencies.

33. Arguments for and against New Deal reforms

Arguments FOR the New Deal

Provided relief to millions (jobs, aid, Social Security).

Restored hope and stabilized banking and labor relations.

Expanded government responsibility for citizens’ welfare.

Arguments AGAINST the New Deal

Conservatives said it:

Was too expensive and wasteful (“frightful waste”).

Expanded government power too much (“creeping socialism”).

Threatened free enterprise.

Radicals said it did not go far enough to help the poor or fix inequality.