Expectations for Learning:
One of several factors leading
to the Great Depression in the United States was the excessive amount of
lending by banks. This fueled speculation and use of credit. The Federal
Reserve attempted to curb these practices by constricting the money supply. The
effect was to worsen economic conditions by making it harder for people to
repay debts and for businesses, including banks, to continue operations.
Another factor leading to the Depression was stock market speculation. Many investors were buying on margin with the hope of making huge profits. But the collapse of the stock market led many to lose their investments and fortunes. The closing of many factories led to the rise of consumer debt as workers lost needed income.
During the 1930s, the role of the federal government was greatly expanded with the New Deal. This occurred through its efforts to help the economy recover, with programs such as the National Recovery Administration, to provide relief to the unemployed by creating jobs and to institute reforms for the protection of the elderly, farmers, investors and laborers.
Another factor leading to the Depression was stock market speculation. Many investors were buying on margin with the hope of making huge profits. But the collapse of the stock market led many to lose their investments and fortunes. The closing of many factories led to the rise of consumer debt as workers lost needed income.
During the 1930s, the role of the federal government was greatly expanded with the New Deal. This occurred through its efforts to help the economy recover, with programs such as the National Recovery Administration, to provide relief to the unemployed by creating jobs and to institute reforms for the protection of the elderly, farmers, investors and laborers.
In-Class Activity : Causes of the Great Depression
Group #1 - Overproduction
Use the following website to answer the questions below: http://historylearning.com/modern-world-history/america-1918/causes-of-the-great-depression/
1. Why did farmers begin to overproduce?
2. What did they use credit and loans to purchase?
3. How much did land prices drop? What happened after the drop?
4. When demand dropped, but supply increased what happened?
Group #2 - Tariffs
Use the following website to answer the questions below: http://americanhistory.about.com/od/greatdepression/f/smoot_hawley.htm
1. What was the intended purpose of the Hawley - Smoot Tariff, and who was it intended to help?
2. How did the Tariff have an adverse effect on trade?
3. What was the affect of this Tariff on imports?
4. What was the affect of this Tariff on exports?
Group #3 - Margin, Speculation, & the Stock Margin Crash
Use the following website and book page # 443-445 to answer the questions below: http://beginnersinvest.about.com/cs/newinvestors/a/040101a_2.htm
1. How does an investor engage in speculation?
2. Describe the idea of Margin.
3. Why could no one make their margin-call?
Group #4 - Low Wages and Unemployment
Use the following website to answer the questions below: https://www.thebalance.com/the-great-depression-of-1929-3306033
1. What percentage of Americans were unemployed during the 1930's?
2. What were the two main causes behind the unemployment?
3. What were hobos and hoovervilles?
Group #5 - Smoot- Hawley Tariff
Use the following website to answer the questions below: https://www.thebalance.com/smoot-hawley-tariff-lessons-today-4136667
1. What did the Smoot- Hawley Tariff do ? and what was its purpose?
2. How much did the tariff increase imports on agricultural goods ?
3. What percentage of Americans were farmers?
Use the following website to answer the questions below: http://historylearning.com/modern-world-history/america-1918/causes-of-the-great-depression/
1. Why did farmers begin to overproduce?
2. What did they use credit and loans to purchase?
3. How much did land prices drop? What happened after the drop?
4. When demand dropped, but supply increased what happened?
Group #2 - Tariffs
Use the following website to answer the questions below: http://americanhistory.about.com/od/greatdepression/f/smoot_hawley.htm
1. What was the intended purpose of the Hawley - Smoot Tariff, and who was it intended to help?
2. How did the Tariff have an adverse effect on trade?
3. What was the affect of this Tariff on imports?
4. What was the affect of this Tariff on exports?
Group #3 - Margin, Speculation, & the Stock Margin Crash
Use the following website and book page # 443-445 to answer the questions below: http://beginnersinvest.about.com/cs/newinvestors/a/040101a_2.htm
1. How does an investor engage in speculation?
2. Describe the idea of Margin.
3. Why could no one make their margin-call?
Group #4 - Low Wages and Unemployment
Use the following website to answer the questions below: https://www.thebalance.com/the-great-depression-of-1929-3306033
1. What percentage of Americans were unemployed during the 1930's?
2. What were the two main causes behind the unemployment?
3. What were hobos and hoovervilles?
Group #5 - Smoot- Hawley Tariff
Use the following website to answer the questions below: https://www.thebalance.com/smoot-hawley-tariff-lessons-today-4136667
1. What did the Smoot- Hawley Tariff do ? and what was its purpose?
2. How much did the tariff increase imports on agricultural goods ?
3. What percentage of Americans were farmers?
Great Depression Video:
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Directions: Answer the
following questions using information from the video.
- Was the stock market crash of Oct. 29th
1929 the cause of the Great Depression?
- Why is buying on the basis of credit dangerous?
- In addition to farming, what other industries began to
slow during the 1920’s?
- How was speculation in the stock market near 1929
similar to that during 2008?
- Why did banks begin to fail during the Great
Depression?
- How did the Hawley-Smoot Tariff affect global trade?
- What was the proposed purpose of the Reconstruction
Finance Corporation?
Great Depression - Causes
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Great Depression - FDR & the First New Deal
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new_deal_programs_worksheet.docx | |
File Size: | 16 kb |
File Type: | docx |
Great Depression - The Second New Deal
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Invest Activity:
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New Deal Video:
Directions: Complete the following questions on a separate sheet of paper.
1. What did FDR end with the 21st Amendment?
2. What were the three R's, and what were their intentions?
3. What did the United Auto Workers organize as a means of protest?
4. What eventually ended the Great Depression?
1. What did FDR end with the 21st Amendment?
2. What were the three R's, and what were their intentions?
3. What did the United Auto Workers organize as a means of protest?
4. What eventually ended the Great Depression?
Dust Bowl Video:
1.What caused the dust storms?
2.What were some of the things people did to try an make people move to the Southern plains?
3.What is one crop that they were growing in mass quantity during WW1 ?
4. Did the dust storms kill people ?
5. What did the Red Cross issue to try and help people living in the dust bowl?
6. How long did these dust storms last?
7. Did farmers continue to farm even while the dust storms were happening?
8. What was a normal meal for people living in the dust bowl?
9. Did everyone see the dust bowl as a big issue? What did people in Washington say?
10. Did Roosevelt offer help to people during the dust bowl through his programs?
11. What were "rabbit drives"? Why were they important to the people during this time ?
12. What was "Black Sunday"?
13. Were people living in the plains able to keep their livestock alive?
14. What was the plague that swept across the plains making many very sick?
15. by the end of 1935 what were some residence doing?
2.What were some of the things people did to try an make people move to the Southern plains?
3.What is one crop that they were growing in mass quantity during WW1 ?
4. Did the dust storms kill people ?
5. What did the Red Cross issue to try and help people living in the dust bowl?
6. How long did these dust storms last?
7. Did farmers continue to farm even while the dust storms were happening?
8. What was a normal meal for people living in the dust bowl?
9. Did everyone see the dust bowl as a big issue? What did people in Washington say?
10. Did Roosevelt offer help to people during the dust bowl through his programs?
11. What were "rabbit drives"? Why were they important to the people during this time ?
12. What was "Black Sunday"?
13. Were people living in the plains able to keep their livestock alive?
14. What was the plague that swept across the plains making many very sick?
15. by the end of 1935 what were some residence doing?