1. The Great Depression

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Analyze the effects of the Stock Market crash of 1929. Describe the spread of poverty during the Great Depression. Describe the impact that the Great Depression had on banker, farmers, workers, and the rest of the world. Analyze images of the Great Depression. Lesson Objectives

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The 4 signs of danger Uneven Prosperity Buying on Credit Playing the Stock Market Too Many Goods

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The crash

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The Crash of the stock market triggered a much larger crisis called the Great Depression . A severe economic decline that lasted from 1929 until the U.S. entry into WWII. From crash to depression

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When the Stock Market crash began in 1929, its effects spread through many areas of society. Factory workers, farmers, banks and citizens around the world were affected by the crash. Domino Effect

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To play the stock market, Americans were using borrowed money, from banks. When the stock market collapsed, Americans rushed to banks to withdraw savings account money that was no longer at the bank. Effects on Banks The Bank Run 1929

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Banks that couldn’t return people’s deposits closed their doors and people’s savings were gone. Banks Collapse

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Trying to make a living

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making a living Bonnie & Clyde The outlaw couple robbed at least twelve banks and murdered numerous people across the central part of the United States. Finally, law enforcement officers, in Louisiana, ended their reign of terror.

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As profits and incomes of businesses fell, workers were laid off by the thousands (cost cutting). Effects on workers & farmers No job = no money: Rent & bills go unpaid. No food

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Those who were unemployed usually lost homes. The homeless of the big cities carved out existences in make-shift towns called Hoovervilles . Make-shift shanty towns built by the homeless of the Great Depression. The bottom suffers the most

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Hoovervilles Blamed for the economic conditions, President Herbert Hoover had these shanty towns named after him.

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“All last winter we never had a fire except about once a day when mother cooked mush or something. When the kids got cold we went to bed. I quit high school of course.” Poverty strained our society

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Unemployment

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Migrant workers People who moved around the country, with the seasons, to find work.

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Breadline & soup kitchens

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Dust Bowl A period of severe dust storms from 1930 to 1936 that led to major agricultural damages. It impacted 100,000,000 acres worth of land and forced farming families to flee the Midwest.

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When the global leader’s banking and investment system fell, the world felt the shock. Europeans who were paying back loans to the U.S. no longer could because Americans could not buy or consume European goods. Effects on the World Which European country was impacted the most by the Great Depression?

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The election of Franklin Roosevelt in 1932 is going to spark a sense of hope. FDR’s programs to help the Depression work, but it will take WWII to pull us completely out. A new hope

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