Start of the depression

Bell work 2/2
• What do you know about the Stock Market in
the United States?

p. 29 The Great Depression (1929-1941)

1. Economic Cause
• Too many people buying stocks that they can’t
afford (with loans)
• Everyone tries to sell stocks at once
• Banks had used $ to invest- they lost cash and
had to close

1. Economic Effect
• Vagrant (homeless) kids
• Thousands lose jobs/
homes/lifesavings

2. Political Cause
• Pres. Hoover was a
conservative (laissez
faire=hands off) and didn’t like
a lot of gov control of business
• Believed in the American spirit
and will to “pull themselves up
by the bootstraps”
• High tariffs (tax on
imports)=trade war

2. Political effects
(don’t copy) President Herbert Hoover declared, "Nobody is actually starving. The
hoboes are better fed than they have ever been.”
• felt that assistance should be handled on a local,
voluntary basis. (Churches and businesses offer help)
• Hoover dam- projects to stimulate economy

3. Agricultural Cause
• Over production=low prices AND poor soil

3. Ag. Effect
• loose dirt picked up/blown away from The
Dakotas to Texas
• Farmers leave the mid west (called Oakies)

4. Social Causes
• Buying on credit (consumerism)
• False optimism (thinking everything is ok)

4. Social effects
• Low divorce rate (too
expensive)= lots of abandoned
families, Low birthrate
• Poor health/nutrition
• High crime rate and alcoholism
• Escapism- radio, movies, sports

Terms (define and write the letter next
to the section of notes it connects to)
A. Lost Generation
B. Hoovervilles
C. Flagpole sitting
D. Installment plan
E. Dust Bowl
F. Smoot Hawley Tariff

p. 28 A picture is worth 1000 words
• Divide the page into 4 squares
• For each:
• 1. Give the source a Title or “caption”
• 2. what is says about the era