HST 2202 Exam 2

PWA (Public Works Administration)

-$6 billion in private contracts -USS Enterprise: ship that is pivotal in WW2 -Put people to work building or improving public buildings like schools, post offices, roads etc. -New Deal government agency (1933-39) designed to reduce unemployment and increase purchasing power through the construction of highways and public buildings. Authorized by the National Industrial Recovery Act (June 1933), the agency was set up by President Franklin D. Roosevelt under the administration of his secretary of the interior, Harold L. Ickes. During its existence, the PWA spent about $6 billion in the construction of more than 70 percent of the nations' new educational buildings; 65 percent of its new courthouses, city halls, and sewage-disposal plants; 35 percent of its new public-health facilities; and 10 percent of all new roads, bridges, and subways. As the nation moved into a war economy, beginning in 1939, the PWA was gradually liquidated. -Spent $6 billion on 34,000 large-scale construction projects; headed by Harold Ickes. The PWA gave contracts to private construction companies; it did not hire workers directly. (Built needed infrastructure (roads, bridges, dams, schools). Notable projects: The Lincoln Tunnel (NYC); the Grand Coulee Dam

Douglas MacArthur

-(1880-1964), U.S. general. Commander of U.S. (later Allied) forces in the southwestern Pacific during World War II, he accepted Japan's surrender in 1945 and administered the ensuing Allied occupation. He was in charge of UN forces in Korea 1950-51, before being forced to relinquish command by President Truman. -The U.S General who led the U.N forces during the Korean War. After he managed to stabilize the fighting near the 38th parallel, he called for an expanded war, including bombing and invasion of mainland China. Truman warned him not to speak out badly against official U.S policy, but he spoke out anyways. In April 1951, Truman with the support of the Joint Chiefs of Staff recalled MacArthur for insubordination. He returned a hero as most Americans as Truman's "limited war" was viewed by many was a weak act of appeasement -(1880-1964), U.S. general. Commander of U.S. (later Allied) forces in the southwestern Pacific during World War II, he accepted Japan's surrender in 1945 and administered the ensuing Allied occupation. He was in charge of UN forces in Korea 1950-51, before being forced to relinquish command by President Truman.

Wagner Act (1935)

-1934 West Coast Waterfront Strike: shipyard worker strike which lead to NLRB -NLRB(1935): Forbid unfair labor practices; applied to workers and employers such as sympathy strikers -Protected collective bargaining -CIO(1935): increased # of union workers by organizing factory workers -established National Labor Relations Board; protected the rights of most workers in the private sector to organize labor unions, to engage in collective bargaining, and to take part in strikes and other forms of concerted activity in support of their demands. -New Dealers believed that unions would counterbalance the organized might of big corporations by defending working people, maintaining wages, and replacing the bloody violence that often accompanied strikers with economic peace and commercial stability. -Guaranteed industrial workers the right to organize unions, putting the might of federal labor behind the appeals of labor leaders. -The Wagner Act created the National Labor Relations Board to sponsor and oversee elections for union representations. If the majority of workers at a company voted for a union, the union became the sole bargaining agent for the entire workplace, and the employer was required to negotiate with the elected union leaders. Roosevelt signed the Wagner Act in July 1935, for the first time providing federal support for labor organization-- the most important New Deal reform of the industrial order. -The achievements that flowed from the Wagner Act and renewed labor militancy were impressive. When Roosevelt became president in 1933, union membership-- composed almost entirely of skilled workers in trade unions affiliated with the American Federation of Labor (AFL)-- stood at three million, down by half since the end of World War 1. With the support of the Wagner Act, union membership expanded almost fivefold, to fourteen million, by the time of Roosevelt's death in 1945. By then, 30 percent of the workforce was unionized, the highest union representation in American history.

Truman Doctrine (1947)

-1947, President Truman's policy of providing economic and military aid to any country threatened by communism or totalitarian ideology, mainly helped Greece and Turkey -stated that the U.S. would support Greece and Turkey with economic and military aid to resist internal left-wing (and therefore it was assumed "communist") movements and prevent them from falling into the Soviet sphere. Early example of application of "containment" doctrine - that the US would take action to stop spread of communism. Some see this as beginning of Cold War. -President Truman's policy of providing economic and military aid to any country threatened by communism or totalitarian ideology. The Truman Doctrine was a policy set forth by US President Harry S. Truman in a speech on March 12, 1947 stating that the US would support Greece and Turkey with economic and military aid to prevent them from falling into the Soviet sphere of influence.

Marshall Plan

-A United States program of economic aid for the reconstruction of Europe (1948-1952) -massive US assistance in war-torn economies of Europe through $17 billion in aid to Western Europe in order to relieve the economic devastation believed to spawn communism; during the plan, industrial production in Western Europe rose 200% and the region became a major center of American trade and investment, promoting prosperity for all involved nations; some thought it was imperialist because ti spread American influence, and the plan combined with the Truman Doctrine caused Stalin to tighten his grip on Eastern Europe (ex: blockade of Berlin)

America First

-A committee organized by isolationists before WWII, who wished to spare American lives. They wanted to protect America before we went to war in another country. Charles A. Lindbergh (the aviator) was its most effective speaker. L: The America First Committee was an isolationist organization that opposed FDR's reelection in 1940 & urged neutrality in WWII, under the logic that "the US wouldn't be harmed by Hitler's advances in Europe", and so therefore should stay uninvolved in European affairs. Pilot and celebrity Charles Lindbergh was its most visible spokesperson. I: The America First Committee was the opposing side against those who advocated for America to release itself from isolationism and come to the aid of the other democratic nations.

Farm Depression

-After WW1 farmers could no longer afford their equipment and suffered heavily -was the worst industry to work in during the 20s because the price of wheat decreased by 50% after WW1 -American prosperity was real enough, but the domestic economy was also in trouble. Wealth was badly distributed. Farmers continued to suffer from low prices and chronic indebtedness; the average income of families working on the land amounted to $240 per year. -To deal with the problems of rural America, Hoover got congress to pass the Agricultural Marketing Act in 1929. The act created the Farm Board, which used its budget of $500 million to buy up the agricultural surpluses and thus, it was hoped, raise prices. -But prices declined. To help end the decline, Hoover joined conservative in urging protective tariffs on agricultural goods, and the Hawley-Smoot Tariff of 1930 established the highest rates in history. -Tariffs did not end the suffering of farmers because foreign nations retaliated with increased tariffs of their own that crippled American farmer's ability to sell abroad.

Lend-Lease Act

-Aid to allied forces by FDR -Loophole to say we aren't trading with belligerent nations -Any country against the aggressor can lease US supplies -1941 law that authorized the president to aid any nation whose defense he believed was vital to American security -In January 1941, Roosevelt proposed the Lend-Lease Act, which allowed the British to obtain arms from the United States without paying cash but with the promise to reimburse the United States when the war ended. The purpose of Lend-Lease, Roosevelt proclaimed, was to defend democracy and human rights throughout the world, specifically to Four Freedoms: "freedom from speech and expression... freedom of every person to worship God in his own way... freedom from want...[and] freedom from fear." -The Lend Lease Act passed in March 1941 and started a flow of support to Britain that totaled more than $50 billion during the war, far more than all federal expenditures combined since Roosevelt had become president in 1933. -Neither Roosevelt nor Churchill had any love for Joesph Stalin or communism, but they both welcomed the Soviet Union to the anti-Nazi cause. Both Western leaders understood that Hitler's attack on Russia would provide relief for the hard-pressed British. Roosevelt quickly persuaded congress to extend Lend-Lease to the Soviet Union, beginning the shipment of millions of trucks, jeeps, and other equipment that, in all, supplied about 10 percent of Russian war materiel.

Prohibition

-Alcohol causes problems so 18th Amendment banned alcohol -Led to a rise in organized crime... the purple gang(Jewish criminals) -the period from 1920 to 1933 when the sale of alcoholic beverages was prohibited in the United States by a constitutional amendment -Drying up the rivers of liquor that Americans consumed, supporters of prohibition claimed, would eliminate crime, boost production, and lift the nation's morality. Instead, prohibition initiated a fourteen year orgy of lawbreaking unparalleled in the nation's history. -The treasury department faced a staggering tasks. Although it smashed more than 172,00 illegal stills in 1925 alone, there were never enough Treasury agents. -Sacramental wine was permitted, allowing fake clergy to party with bogus congregations. Farmers were allowed to ferment their own "fruit juices." Doctors and dentist would prescribe liquor for medicinal purposes. -America's wettest city was probably Detroit, known widely as "the city on a still." Detroit was home to more than 20,000 illegal drinking establishments, making alcohol business the city's second-largest industry, behind automobile manufacturing. -During the first four years of prohibition, Chicago witnessed more than two hundred gang-related killings as rival mobs struggled for control of the lucrative liquor trade. -Prohibition fueled criminal activity, corrupted the police, demoralized the judiciary, and caused ordinary citizens to disrespect the law. -In 1933, the nation ended prohibition with the Twenty first Amendment, making the Eighteenth Amendment; manufacturing and banning sales of alcohol, the only constitutional amendment to be repealed.

United Nations (UN)

-An international organization formed after WWII to promote international peace, security, and cooperation. -an organization of independent states formed in 1945 to promote international peace and security -In 1944, delegations from the United States, the United Kingdom, the Soviet Union, and the Republic of China—four of the main Allied powers in World War II—met in Washington, DC to negotiate the parameters of the postwar world and to discuss the establishment of the international organization that would become known as the United Nations (UN). -The General Assembly is the main deliberative body of the UN. Every country that is a member of the UN is represented in the General Assembly. The UN General Assembly convenes annually to deliberate and vote on important issues affecting world peace and security. The General Assembly can only make recommendations to member-states; it cannot make binding decisions, nor can it enforce those decisions - only the Security Council has the authority to do that. -Because the Soviet Union and the United States both held permanent seats on the UN Security Council, as the Cold War heated up, disunity between the two great powers interfered with the international organization's basic peacekeeping mission. This was partly due to the dual nature of the UN as a forum for negotiating disputes among states and a platform for influencing international opinion. The Soviet Union and the United States both used the UN as a propaganda platform, to win hearts and minds in the Cold War. Many of the proposals submitted by US and Soviet officials were aimed primarily at criticizing each other, and since each superpower had a veto in the Security Council, disputes could not be resolved unless both Cold War rivals agreed, which was rare. This had the effect of stalling negotiations and prolonging conflict. -In the 1950s and 1960s, decolonization, or the process by which former colonial territories became independent states, transformed the composition and functioning of the UN. During this time period, dozens of newly independent countries in Africa, Asia, and the Middle East joined the United Nations and sought to redirect the energies of the organization toward easing the transition to independence. - As a result of the activism of states referred to during the Cold War as the "Third World," the UN took on additional responsibilities for economic, political, and social development, and the monitoring and enforcement of fundamental human rights.

Fundamentalist Christianity

-Believed Bible to be 100% truth -Popular in Rural America -Aimee Semple McPherson was the first to use radio to preach -Scopes Trial... William Jennings Bryan vs. Clarence Darrow -Began in the late 19th/ early 20th-century among Protestants as a reaction to theological liberalism and cultural modernism. -Fundamentalist Protestants insisted that the Bible's creation story be taught as the literal truth. -Scientists and civil liberties organizations clamored for a challenge to the law, and John Scopes, a young biology teacher in Dayton, Tennessee, offered to test the state's ban on teaching evolution.

NSC-68 (1950)

-Blueprint for the Cold War in which the National Security Council (made up of President's top advisors on military and security matters) recommendation to quadruple defense spending for fighting communism and rapidly expand peacetime armed forces to address Cold War tensions; reflected a new militarization of American foreign policy ("Military Industrial Complex") and triggered the arms race -When teams of scientists in the Soviet Union and the United States were engaged in an intense competition to develop superior weapons systems during the Cold War. The Soviets tested their first atomic bomb in the fall of 1949, alarming Americans. Thus, Truman approved the development of the hydrogen bomb, completed in 1952, that was one thousand times more powerful than the atomic bomb that hit Japan. In 1950, the National Security Council had a secret report called the _______ that to fight the Cold War, the U.S needed: (1) quadruple U.S government defense spending to 20 percent of GNP (2) form alliances with non-Communist countries around the world, (3) convince the American public that a costly arms buildup was imperative for the nation's defense.

Consumption

-Brought about by Mass Production -Seen as sinful by some b/c consumption < production -Large increase in electricity... 30%-->70% -people bought things because they wanted it, not because they needed it. After the 1920s, about 70% of American households had electricity -By the 1920s, the united states had achieved the physical capacity to satisfy Americans' material wants. The economic problem shifted from production to consumption: Who would buy the goods flying off American assembly lines? -One solution was to expand American markets in foreign countries, and government and business joined in that effort. Another solution to the problem of consumption was to expand the market at home. -Henry ford realized early on that "mass production requires mass consumption." He understood that automobile workers not only produced cars but would also buy them if they made enough money. In 1914, Ford raised wages from $5 a day to more than twice the ongoing rate. -Because the wages of many workers barely edged upward, many people's income were too puny to satisfy the growing desire for consumer goods. High wages made for workers who were more loyal and more exploitable, and high wages returned profits when workers bought Ford. -Business supplied the solution: Americans could realize their dream through credit. Installment buying-- a little money down, a payment each month-- allowed people to purchase expensive items they could not afford otherwise or to purchase items before saving the necessary money.

Advertising

-Bruce Barton... utilized propaganda skills to use people emotions to sell -The Man Nobody Knows: linked business, religion, and politics by calling Jesus a corporate superstar -leading ad man was Bruce Barton (propagandist), he wrote a book "A Man Nobody Knows" claiming that the real Jesus was a CEO and an ad man -The pied piper of these disturbing changes was the rapid expanding business of advertising, which stimulated the desire for new products and hammered away at the traditional values of thrifting and saving. Newspapers, magazines, radios, billboards told Americans what they had to have in order to be popular, secure and successful. -Advertising linked material goods to the fulfillment of every spiritual and emotional need. -Americans increasingly defined and measured their social status, and indeed their personal worth, on the the yardstick of material possessions. Happiness itself rode on owning a car and choosing the right cigarettes and toothpaste.

1949

-China becomes Communist -Soviets detonate Joe 1 -Nato formed in fear of Russia -Fall of China to Mao Tse-tung. Soviets detonate Joel. North Atlantic Treaty Organization (NATO) was formed; contains the nations next to the Atlantic

Credit Bubble

-Credit shifts from being used on capital to daily items -Poses a problem to the economy -was used to buy capital and made people feel prosperous, but all this unnecessary spending led to the Great Depression -By the 1929, the inequality of wealth produced a serious problem in consumption. The rich spent lavishly, but they could absorb only a tiny fraction of the nation's output. Ordinary folk, on whom the system ultimately depended, were unable to take up the slack. For a time, the new devices of installment buying-- buying on credit-- kept consumer demand up. By the end of the decade, four of five cars and two out of three radios were bought on credit. -Signs of economic trouble began to appear at mid-decade. New construction slowed down. Automobiles faltered. Companies began cutting back production and laying off workers. Between 1921 and 1928, as investment and loan opportunities faded. five thousand banks failed, wiping out the life savings of hundreds of thousands of people. Still, the boom seemed to roar on, muffling the sounds of economic distress just beneath under.

Atlantic Charter

-Declaration of principles issued by Winston Churchill and Franklin D. Roosevelt in August 1941 -The Four Freedoms: speech, religion, free trade, and fear -a joint declaration released by U.S. President Franklin D. Roosevelt and British Prime Minister Winston Churchill on August 14, 1941 following a meeting of the two heads of state in Newfoundland. The Atlantic Charter provided a broad statement of U.S. and British war aims. -An agreement made by the Atlantic Conference between Churchill and FDR on a warship. This Conference was one of the first to discuss world issues including the Far East and Japan. The charter outlined the democratic countries' dreams at war's end. It affirmed the want for territorial changes, the right of people to form their own government, disarmament and peace of security, and permanent sense of general security. The oppressed countries loved it, but the isolationists in the US freaked out.

WPA (Works Progress Administration)

-Direct hiring by gov. to provide low-skill labor to unemployed -Library Project... seen as communist by the south -Craft Schools -Historians interviewing slaves -key New Deal agency that provided work relief for the unemployed through various public-works projects -To give unemployed Americans government-funded jobs on public works. The WPA put millions of jobless citizens to work on roads, bridges, parks, public buildings, and more. -In addition, Congress passed-- over Roosevelt's veto-- the bonus long sought by the Bonus Marchers, giving Veterans an average of $580 and further stimulating the economy. -By 1936, WPA funded jobs for 7 percent of the nation's labor force. In effect, the WPA made the federal government the employer of last resort, creating jobs when the capitalist economy failed to do so. In hiring, WPA officials tended to discriminate in favor of white men and against women and racial minorities. -But by the time the WPA ended in 1943--because mobilization of World War 2 created full employment-- it had made major contributions to both relief and recovery. Overall, WPA jobs put thirteen million men and women to work and gave them paychecks worth $10 billion. -About three out of four WPA jobs involved construction and renovation of the nation's physical infrastructure. WPA workers built 572,000 miles of roads, 78,000 bridges, 67,000 miles of city streets, 40,000 public buildings, 8,000 parks, 350 airports, and much else. -In addition, the WPA gave jobs to thousands of artists, musicians, actors, journalists, poets, and novelists. The WPA also organized sewing rooms for jobless women, giving them work and wages and allowing them to produce more than 100 million pieces of clothing that were donated to the needy. -The WPA reached the most isolated corners of the nation, funding librarians and nurses on horseback to deliver books and health care to remote cabins in the Appalachia. Throughout the nation, WPA projects displayed tangible evidence of the New Deal's commitment to public welfare.

Mass production

-Economic and affordable production -Ushered in by WW1 -production of goods in large numbers through the use of machinery and assembly lines. America shifting from a rural to an urban/modern place created the boom driven by mass production from WW1 -Mass product fueled corporate profits and national economic prosperity. During the 1920s, per capita income raised by a third, the cost of living stayed the same, and unemployment remained low. But the rewards of the economic boom were not evenly distributed. Americans who labored with their hands inched ahead,while white collar workers enjoyed significantly more spending money and leisure time to spend it. -Mass production of a broad range of new products -- automobiles, radio, refrigerators, electric irons, washing machines-- produced consumer goods revolution. -Nothing shaped America more than the automobile, and efficient mass production made the auto mobile revolution possible.

Communism

-Extreme left wing -Marx and Engels developed this after seeing the harshness of British capitalism -Marxism: class conflict of bourgeoisie(rich) vs proletariat(poor) -Bolshevism: revolutionary elite skips the industrial downfall which leads to communism -Upton Sinclair was a socialist labeled as a communist -A theory or system of social organization based on the holding of all property in common, actual ownership being ascribed to the community as a whole or to the state. -Joesph Stalin used harsh methods to install communist governments in neighboring Poland and Bulgaria. Elsewhere, the soviets initially tolerated non-Communist governments in Hungary and Czechoslovakia. In the spring of 1946, Stalin responded to pressure from the West and removed troops from Iran on the Soviet Union's southwest border, allowing the U.S. access to the rich oil fields there. -Stalin considered U.S. officials hypocritical in demanding democratic elections in Eastern Europe while supporting dictatorship friendly to U.S. interests posing soviet efforts to create its own. But the Western Allies were unwilling to match tough words with military force against the largest army in the world. They issued sharp protests but failed to prevent the Soviet Union from establishing satellite throughout Eastern Europe. -The Soviet Union wanted Germany weak both militarily and economically, and Stalin demanded heavy reparations from Germany to help rebuild the devastated Soviet economy. Unable to settle their differences, the Allies divided Germany. -The Soviet Union installed a puppet Communist government in the eastern section, and Britain, France, and the United States began to unify their occupation zones, a process that eventually established the Federal Republic of Germany--West Germany-- in 1949.

Fascism

-Extreme right wing -Established by Mussolini and adopted by Hitler -Social darwinism, emotionalism, nationalism, racism, and industrialism -Hierarchal... Fuhrer over all -Heavily conservative -State law was > any personal opinion -KKK and German American Band were American fascists -A governmental system led by a dictator having complete power, forcibly suppressing opposition and criticism, regimenting all industry, commerce, etc., and emphasizing an aggressive nationalism and often racism. -Political philosophy that become predominant in Italy and then Germany during the 1920s and 1930s; attacked weakness of democracy, corruption of capitalism; promised vigorous foreign and military programs; undertook state control of economy to reduce social friction. -a political system headed by a dictator in which the government controls business and labor and opposition is not permitted -Led to fascism: During World War I, there had been heavy fighting in Italy's own territory - That war brought rising prices, high unemployment and nationalist resentment that Italy did not gain more from the peace treaties. - after the war, Italy experienced great social conflict - 1919, a powerful fascist movement - Black shirts fought trade unionists, socialists and communists in street battles - Fascists bashed their political opponents and burned the offices of newspapers that dared to criticise them - They gained support from the middle classes and the rich by violently breaking up strikes. - In 1922 their leader, Benito Mussolini, organised a fascist march on the capital, Rome. - The Italian king regarded Mussolini as an ally against the communists and socialists and invited him to become prime minister. Led ww2 by: - Many fascists movements took place in many European countries - Germany was controlled by Nazis, fascists - Italy was controlled by Mussolini, a fascist - Gained control in Spain

FDR (political rise)

-Gov. of NY... instituted a small new deal in NY which was popular -1920: VP candidate, loses election -Speaks in favor of Al Smith in 1924 and is noticed in politics -Wins election against Hoover in 1932 -began his political career in 1910 when he was elected to the NY state senate. His charisma, sharp mins, and name helped gain his political fame. Two years later, he was appointed assistant secretary of the Navy under President Woodrow Wilson. His popularity as a Democratic politician led him to be voted twice for Vice President.

Herbert Hoover

-Greatness from adversity -Quaker and Philanthropist -Food administrator and later Commerce Secretary -Regulated Radio and established FCC and pushed for FAA to regulate aviation -Republican candidate who became the 31st president in March 1929 promising the American people prosperity and attempted to first deal with the Depression by trying to restore public faith in the community. He also created the Depression

Urbanization

-Federal Highway Act(1921): local and state gov. split cost of building highways... helped create jobs during 20s -Movement of people from rural areas to cities in America -In the years leading up to the 1920s, and throughout the decade, urbanization took place at an extraordinary pace. What is urbanization? Urbanization is simply the process by which people move into urban areas and contribute to their growth. For just a moment, let's backtrack to the year 1800. This will help us put things in perspective. -In the year 1800, an estimated 5% of the American population lived in urban areas. By the year 1920, that figure jumped to 50%. It is commonly suggested that more people lived in urban areas than in rural areas throughout the 1920s. -Also during this time, more white-collar jobs became available. Blue-collar jobs, like mining, farming and other forms of physical labor, were by no means rare in the 1920s, but they were increasingly being replaced by white-collar jobs in fields such as law enforcement, public service, private business and the like. -Not every city in the country developed as fast as the largest cities did. Important regional differences existed in urbanization because of differences in the nature of industrial growth. The largest cities in the Northeast were manufacturing powerhouses that contained everything, from large factories building railroad locomotives to small shops producing textiles in people's apartments. The Northeast also gave rise to smaller cities that concentrated on particular industries, like Rochester, New York, which specialized in men's clothing, boots, and shoes. Following on a tradition of manufacturing from earlier in the century, New Bedford and Fall River, Massachusetts increased in size because of their cotton textile factories. Other cities, like Elizabeth, New Jersey, grew as byproducts of the expansion of their larger neighbors. - The South had lagged behind the rest of the country since before the Civil War. As a result, many advocates for outside investment in this region expanded their activities after the war. They were somewhat successful. While the rate of industrialization (and therefore urbanization) picked up in the South during the late 19th and early 20th centuries, it still has not fully caught up with the rest of the country. Birmingham, Alabama, for example, founded in 1871, flourished as a center for iron and steel manufacturing during the 1880s, when two railroads first linked that city to the region's mineral resources.4 The growth of cotton mills in the "upcountry" section of the Carolinas began during the 1870s. After the turn of the 20th century, this region became an important center of activity for the textile industry, in large part because of the cheap, nonunion labor available there.

European Theater

-Fighting that took place on the continent of Europe against Hitler and Mussolini. -The European Theater was an area of heavy fighting across Europe from Germany's and the Soviet Union's joint invasion of Poland, during World War II, from 1 September 1939 to 8 May 1945. Allied forces fought the Axis powers in three theatres: the Eastern Front, the Western Front and the Mediterranean Theatre.

Bank Reform

-Fireside Chats: FDR speaking over radio to reassure Americans -Emergency Banking Act(1932-34): Closes all banks for a week to examine them and reopens financially secure banks -Glass-Steagall Act: Firewall against stock crashes... investment banks, retail banks, and insurance -FDIC: guarantees bank deposits -Securities and Exchange Acts: regulated stocks exchanges -Pecorra Commission: Congress investigated wall street -Emergency Banking Act: all banks were closed for a week. Roosevelt saved capitalism in America. Established FDIC: deposits are guaranteed. Securities and Exchange Act: regulate stock exchanges. -Immediately declared a four day "bank holiday" to devise a plan to shore up banks and restore depositors' confidence. -New Dealers drafted the Emergency Banking Act, which gave the secretary of the treasury the power to decide which banks could be safely reopened and to release the funds from the Reconstruction Finance Corporation to bottler banks' assets. -To secure the confidence of depositors, Congress passed the Glass-Steagall Banking Act, setting up the Federal Deposit Insurance Corporation (FDIC), which guaranteed bank customers that the federal government would reimburse them for deposits if their banks failed. -In addition, The act required the separation of commercial banks (which accept deposits and loans to individuals and small businesses) and investment banks (which make speculative investments with their funds), in an effort to insulate the finances of Main Street America from the risky speculations of Wall Street wheeler-dealers. -To prevent the fraud, corruption, and insider trading that had tainted Wall Street and contributed to the crash of 1929, Roosevelt pressed congress to regulate the stock market. Legislation in 1934 created the Securities and Exchange Commissions (SEC) to oversee financial market by licensing investment dealers, monitoring all stock transactions, and requiring corporate officers to make full disclosures about their companies. -To head the SEC, Roosevelt named an abrasive and ambitious Wall Street Financier , Joesph P. Kennedy, who had a somewhat shady reputation for stock manipulation. When critics complained about his selection, Roosevelt replied, "Set a their to catch a thief." Under Kennedy's leadership, the SEC helped a cleaned-up and regulated Wall Street to recover slowly, although the stock market stayed well below its frothy heights during the 1920s

Warren G. Harding

-Former newspaper publisher(Marion Star) -Allowed unions as a conservative -Machine Politician that called for a "Return to Normalcy" -Front Porch Campaign... Harding had surrogates speak for him -Little Green House on K. Street -Pres. 1921 laissez-faire, little regard for gov't or presidency. Called for a "return to normalcy" after Wilson + his progressive ideals. Office became corrupt: allowed drinking in prohibition, had an affair, surrounded himself w/ cronies (used office for private gain). Ex) Sec. of Interior leased gov't land w/ oil for $500,000 and took money himself. Died after 3 years in office, VP: Coolidge took over

Tea Pot Dome

-Geological formation holding oil... Albert Fall was bribed by Harry Sinclair, both go to prison -Scandal during the Harding administration (interior secretary Albert Fall and Harry Sinclair) involving the granting of oil-drilling rights on government land in return for money -Albert Fall, in his position as Secretary of the Interior, leased Elk Hill (California ) and Teapot Dome ( Wyoming) two public petroleum reserves, to private companies backed by Dogheny and Sinclair. This was due to bribes given by the two to Fall, in the form of more than 400,00 dollars worth of cash, bonds, and even a herd of cattle. -Fall goes to jail, the first cabinet member to serve time in jail. -Warren G. Harding dies, Aug. 2nd 1923, from the stress.

Long Telegram (1946)

-George Kennan: diplomat in Russia and a historian -Described the history of paranoia and tyranny in Russia and how communism was a cover up for it -Leadership was opportunistic and took advantage of diseased flesh to expand communism -Russia is not militaristic and will not expand when faced with opposition -1946, The message written by George Kennan to Truman urging the United States to focus on containing the spread of Soviet influence. -The 'Long Telegram' was sent by George Kennan from the United States Embassy in Moscow to Washington, where it was received on February 22nd 1946. The telegram was prompted by US enquiries about Soviet behaviour, especially with regards to their refusal to join the newly created World Bank and International Monetary Fund. In his text, Kennan outlined Soviet belief and practice and proposed the policy of 'containment', making the Telegram a key document in the history of the Cold War. The name 'long' derives from the telegram's 8000 word length. Ex: Containment was first outlined in George Kennan's 'Long Telegram' sent from his position in the US Embassy in Moscow to the United States. *February 1946 *George F Kennan- Leading expert on Russian history and affairs. Lived in Soviet union. Stated that Soviets cannot be reasoned with. * Motivated containment policy.

Sacco and Vanzetti Case

-Illustrated anti-immigrant mindset during 20s... unfair trials accusing these Italians of killing a payman -Found guilty and were executed -Italian immigrants accused & convicted of killing a paymaster (someone who gave money directly to workers); some say mainly accused because they were immigrants. -Two anarchist immigrants from Italy, were arrested in 1920 for robbery and murder in South Braintree, Massachusetts, the men were sentenced to death by a judge who openly referred to them as "anarchist bastards." -They were arrested when they picked up a car that the police thought was used for the crime. They were carrying guns when they were arrested one of these used bullets of the same type as the gun used in the crime. -In response to doubts about the fairness of the verdict, a blue-ribbon review committee found the trial judge guilty of a "grave breach of official decorum" but refused to recommend a motion for retrial. -Massachusetts' execution of Sacco and Vanzetti on August 23, 1927, provoked international outrage. Fifty thousand American mourners followed the caskets in the rain, convinced that the men had died because they were immigrants and radicals, and not because they were murderers.

Ku Klux Klan in the 1920's

-Inspired by "Birth of a Nation" -Anti-Immigrant, Catholic, Jew -Defenders of WASP Americans -Was very organized compared to the first klan... had paid recruiters -it was a white supremacy, nativist, reactionary group that was against foreigners, Catholics, Jews, and blacks. They had 5 million members by 1924 and dominated the political scene in the south. -In 1915, the klan was reborn at stone mountain, Georgia, but when the new klan extended its targets beyond African American, it quickly spread beyond the south. Under a banner proclaiming "100 percent Americanism," the klan promised to defend family, morality, and traditional American values against the threats posed by blacks, immigrants, radicals, feminists, catholics, and jews. -Building on the frustrations or rural America, the Klan attracted three million to four million members-- women as well men. -The Klan's uniforms and rituals offered a certain counterfeit dignity to old stock, protestant, white Americans who felt passed over, and the hoods allowed members to beat and intimidate their victims with little fear of consequences. -Eventually, social changes, along with lawless excess, crippled the klan. Immigration restrictions eased the worry about invading foreigners, and sensational wrongdoing by klan leaders cost it the support of traditional moralists. Grand Dragon David Stephenson of Indiana, for example, went to jail for the kidnapping and rape of a woman who subsequently committed suicide.

Syngman Rhee

-Korean leader who became president of South Korea after World War II and led Korea during Korean War. -The American favorited candidate, Syngman Rhee, was elected President, and the Untied States withdrew most of its troops. In the fall of 1948, the Soviets established the People's Republic of North Korea under Kim-Il Sung and also withdrew. Although doubting that Rhee's repressive government could sustain popular support, U.S. officials appreciated his staunch anticommunism and provided small amounts of economic and military aid to South Korea. -Insurgencies of workers and peasants against factory owners, landlords, and the Rhee government claimed 100,000 lives in between 1946 and mid-1950, and skirmishes between the North and South Korean troops at the 38 parallel began in 1948. Then in June 1950, 90,000 North Koreans swept into South Korea.

Manhattan Project

-Los Alamos: HQ of the project -Oak Ridge Calutron: particle accelerator created by New Deal -Atomic Bomb! -Code name for the U.S. effort during World War II to produce the atomic bomb. Much of the early research was done in New York City by refugee physicists in the United States. -In 1942, Roosevelt had authorized the top-secret Manhattan Project to find a way to convert nuclear energy into a super bomb before the Germans added such a weapon to their arsenal. More than 100,000 Americans, led by scientist, engineers, and military officers at Los Alamos, worked frantically to win the race for an atomic bomb. -Germany surrendered two and a half months before the test on July 16, 1945, when scientist first witnessed an atomic explosion that sent a mushroom cloud of debris eight miles into the atmosphere. After watching the successful test to the bomb, J.Robert Oppenheimer, the head scientist at Los Alamos, remarked soberly, "Lots of boys not grown up yet will owe their life to it."

Welfare Capitalism

-Make workers psychologically happy by providing small bonuses or gifts -when companies provide incentives to build better relationships with employees; health insurance, safety standards, buy stock in the company -An approach to labor relations in which companies meet some of their workers' needs without prompting by unions, thus preventing strikes and keeping productivity high -some employers adopted benevolent policies toward their employees. They set up employee cafeterias, staffed on-site medical clinics, and engaged psychologists to counsel troubled workers. They also published employee newsletters and gave awards to employees who did their work well and in good spirit. Some even gave employees a voice in determining working conditions. The purpose of welfare capitalism was to encourage loyalty to the firm and to convince employees that capitalism could work in their interests.

Neutrality Acts

-Neutrality Act(1937-39): No trade with belligerent nations except for cash and carry -Quarantine Speech(1937): Roosevelt says he will help quarantine an aggressor nation -Originally designed to avoid American involvement in World War II by preventing loans to those countries taking part in the conflict; they were later modified in 1939 to allow aid to Great Britain and other Allied nations. -An act passed to limit US involvement in possible future wars -1st Neutrality Act; 1935: Gave president the power to prohibit US ships from carrying US made arms to countries at war; US citizens travelling on ships belonging to countries at war do so at own risk -2nd Neutrality Act; 1936: Banned loans/credits to countries at war; set no trade limit on materials useful for war (US companies able to sell items on credit to General Franco in the Spanish Civil war) -3rd Neutrality Act; 1937: Forbade exportation of munitions to opposing forces in Spain; permitted nations at war to buy goods other than arms from the US; however nations must pay in cash and use their own ships aka cash & carry. -4th Neutrality Act; 1937: Authorized US president to determine what could or couldn't be bought (aside from arms) and paid for on delivery; travel on ships of countries at war made unlawful -5th Neutrality Act; 1939 (cash & carry act): President authorize 'cash & carry' export of arms and munitions to countries at war; president specify which areas were combat zones; thus where US citizens and ships could not travel; North Atlantic declared combat zone & FDR orders US Navy to reveal location of German subs to British

AAA (Agricultural Adjustment Act)

-Paid subsidies to farmers to not plant, but left out sharecroppers b/c farming wasn't continuous -federal law passed in 1933 as part of U.S. president Franklin D. Roosevelt's New Deal. The law offered farmers subsidies in exchange for limiting their production of certain crops. The subsidies were meant to limit overproduction so that crop prices could increase -New Dealers diagnosed the farmer's plight as a classic case of overproduction and under consumption. -New Dealers sought to cut agricultural production, thereby raising crop prices and farmer's income. With more money in their pockets, farm families--who made made one third of all Americans-- would then buy more goods and lift consumption on the entire economy. -To reduce production the AAA authorized the "domestic allotment plan", which paid farmers not to grow crops. Individual farmers who agreed not to plant crops on a portion of their fields (their "allotment") would receive a government payment compensating them for the crops they didn't plant. -With the formation of the commodity Credit Corporation, the federal government allowed farmers to hold their harvested crops off the market and wait for a higher price. -In the meantime, the government stored the crop and gave farmers a "commodity loan" based on a favorable price. In effect, commodity loans addressed the problem of under consumption by making the federal government a major consumer agricultural goods and reducing farmers' vulnerability to low prices. -New dealers also sponsored the Farm Credit Act (FCA) to provide long-term credit on mortgaged farm property, allowing debt-ridden farmers to avoid foreclosures that were driving thousands off their land.

Social Security Act of 1935

-Part of second new deal -Social Insurance: disability, unemployment, single parents -Safety net paid for by workers -Originally excluded agricultural and domestic workers -Provided old-age pension (retirement), and a program of unemployment insurance (temporary aid to help people who lose jobs to find a new job), and federal welfare program (aid for very poor). Most famous and important legacy of New Deal. Has resulted (along with Medicare) with drastic reduction in poverty among elderly in the US -The act provided the contributions from workers and their employment would fund pensions for the elderly, giving contributing workers a personal stake in the system and making it politically invulnerable. -When eligible workers reached retirement age, they were not subject to a means test to prove that they were needy. Instead, they had to earn benefits based on their contributions and years of work. Social Security also created unemployment insurance that provided modest benefits for workers who lost their jobs. -Not all workers benefited from the Social Security Act. It excluded domestic and agricultural workers like Florence Owens, thereby making ineligible about half of the African Americans and more than half of all employed woman-- about five million people all together. In addition, the law excluded workers employed by religious and nonprofit organizations, such as school and hospitals, rendering ineligible even more working women and minorities. -Social Security issued multimillion-dollar grants to the states to help support dependent children, public health services, and the blind. It also expanded to include benefits for dependent survivors of deceased recipients.

Calvin Coolidge

-Presidency gained after Harding died -Wanted legislature left to states -Gained fame as a governor by firing striking union workers -Banks began failing with Coolidge -Became president when Harding died of pneumonia. He was known for practicing a rigid economy in money and words, and acquired the name "Silent Cal" for being so soft-spoken. He was a true republican and industrialist. Believed in the government supporting big business.

National Origins Act of 1924

-Quota system for immigrants, stated 1% of 1890 census could immigrate -Purpose of excluding Southern and Eastern Europeans -A law that severely restricted immigration by establishing a system of national quotas that blatantly discriminated against immigrants from southern and eastern Europe and virtually excluded Asians. The policy stayed in effect until the 1960s. -1924 Congress passed a discriminatory immigration law that restricted the immigration of Southern and Eastern Europeans and practically excluded Asians and other nonwhites from entry into the United States. This act instituted admission quotas by using the 1890 census to determine the population of a particular nationality group; the government then only allowed 2 percent of that population into the nation. In addition, the act completely barred immigration for all those whom the Supreme Court prohibited from obtaining U.S. citizenship, specifically Asians. -(1924) a revision of the immigration law, restricted annual immigration from any foreign country to 2 percent the number of persons of the "national origin" in the United States in 1890 -the law was to reduce the immigration of southern and eastern Europeans, Calvin Coolidge remarked "America must be kept American."

NRA (National Recovery Administration)

-Response to "ruinous competition" -fails, but creates Section 7A: the right to organize -established and administered a system of industrial codes to control production, prices, labor relations, and trade practices -The NRA encouraged industrialists in every part of the economy to agree on rules, Known as codes, to define fair working conditions, to set prices, and to minimize competition. -The idea behind codes was stabilize existing industries and maintain their workforces while avoiding what both industrialists and New Dealers termed "destructive competition", which forced employees to cut wages and jobs. -New Dealers hoped the NRA codes would yield businesses with a social conscience, ensuring fair treatment of workers and consumers and promotions of the general economic welfare. -NRA codes tended to strengthen conventional business practices. Large corporations wrote codes that served primarily their own interests rather than the needs of workers or the welfare of the national economy. -NRA codes was voluntary, and government enforcement efforts were weak to nonexistent. The NRA did little to reduce unemployment, raise consumption, or relieve the depression.

Court Packing Plan

-Roosevelt called current justices a "horse and buggy court" -Called for 1 new justice for every justice over 70.5 years to a max of 6 -Never passed but led to the justices ruling in favor of New Deal -President FDR's failed 1937 attempt to increase the number of US Supreme Court Justices from 9 to 15 in order to save his 2nd New Deal programs from constitutional challenges -Roosevelt plan that added one new justice for each existing judge who served for ten years and was over the age of seventy. In effect, the proposed law would give Roosevelt the power to pack the court with up to six New Dealers who could outvote the elderly, conservative, Republican justices. -But the president had not reckoned with Americans' deeply rooted deference to the independent authority of the supreme court. More than two thirds of Americans believed the court should be free from political interference. Even New Deals supporters were disturbed by the court packing scheme. The suggestion that individuals over the age seventy had diminished mental capacity offense many elderly members of congress, and the senate defeated the bill in 1937.

Roosevelt recession, 1937-38

-Roosevelt cuts spending and increases taxes -Congress passes a balanced budget(1936) -Leads to a slight depression after all the good FDR had done -in an effort to reduce deficits, in 1937 FDR and Democrats cut back on New Deal spending, triggering a new recession as government spending stimulus was removed. Revealed that Great Depression wasn't over. Massive government spending for WWII would provide enormous stimulus that would finally get US out of Depression & provide strong support for Keynesian economic theory (government spending to get economy out of recession) -Roosevelt's optimism failed to consider the stubborn realities of unemployment and poverty, and the reduction in deficit government spending reversed the improving economy. Even at the high-water mark of recovery in the summer of 1937, seven million people lacked jobs. In the next few months, national income and production slipped so steeply that almost two-thirds of the economic gains since 1933 were lost by June 1938. Farm prices dropped 20 percent, and unemployment rose more than two million. -This economic reversal hurt the New Deal politically. Conservatives argued that this recession proved that New Deal measures produced only an illusion of progress. The way to weather the recession was to tax and spend less and wait for the natural laws of supply and demand to restore prosperity. Many New Dealers insisted instead that the continuing depression demanded that Roosevelt revive federal spending and redouble efforts to stimulate the economy. In 1938, Congress heeded such pleas and enacted a massive new program of federal spending. -The recession scare of 1937-1938 taught the president the lesson that economic growth had to be carefully nurtured. -The English economist John Maynard Keynes, in a theory that became known as Keynesian economics, argued in his influential work "The General Theory of Employment, Interest, and Money (1936) that only government intervention could pump enough money into the economy to restore prosperity. -Roosevelt never had the inclination or time to master Keynesian theory. But in a commonsense way, he understood that escape from the depression required a plan for large-scale spending to alleviate distress and stimulate economic growth.

Huey Long

-Share our wealth society -Demagog: appealed to masses by saying what they wanted -As senator in 1932 of Washington preached his "Share Our Wealth" programs. It was a 100% tax on all annual incomes over $1 million and appropriation of all fortunes in excess of $5 million. With this money Long proposed to give every American family a comfortable income, etc. -Son of a back country Louisiana farmer, was elected governor of the state in 1928 with his slogan, "Every man a king, but no one wears a crown." -Long championed the poor over the rich, country people over city folk, and the humble over elites. -As governor, "the Kingfish"-- as he called himself-- delivered on his promise to provide jobs and build roads, schools, and hospitals, but he also behaved ruthlessly to achieve his goal. -Long's folksy manner and sympathy for the underprivileged diverted attention from his ruthless autocratic methods. Surrounding himself with gangsterlike bodyguards, he dictated outright to members of the legislature, using intimidation if necessary. When he was about to leave office to serve in the U.S. Senate (1932), he fired the legally elected lieutenant governor and replaced him with two designated successors who would obey him from Washington. In order to fend off local challenges to his control in 1934, he effected radical changes in the Louisiana government, abolishing local government and taking personal control of all educational, police, and fire job appointments throughout the state. He achieved absolute control of the state militia, judiciary, and election and tax-assessing apparatus, while denying citizens any legal or electoral redress. -In the Senate (1932-35) he sought national power with a Share-the-Wealth program ("every man a king"), which was tempting to the Great Depression-shocked public. Had Long been able to unite the various nationwide radical movements, a private poll taken in the spring of 1935 estimated that he would have won up to four million votes in the next year's presidential election, thus wielding a balance of power between the two major parties. -Long was at the height of his power when assassinated by Carl Austin Weiss, the son of a man whom he had vilified. The Long political dynasty was carried on by his brother, Earl K. Long, who served as governor (1939-40, 1948-52, 1956-60), and his son, Russell B. Long, who served in the U.S. Senate from 1948 to 1987.

Al Smith

-Son of immigrants... gained political stature in machine politics -South voted R and North voted D -Governor of New York four times, and was the Democratic U.S. presidential candidate in 1928. He was the first Roman Catholic and Irish-American to run for President as a major party nominee. He lost the election to Herbert Hoover.

Yalta and Postdam

-Soviet's agree to leave German's conquered land as free -Demilitarize Germany and partition it... Allies west and Russia east Germany -FDR, Winston Churchill, and Joseph Stalin met to finalize the defeat of Nazi Germany. The aim of the conference was to shape a post-war peace that represented not just a collective security disorder but a plan to give self-determination to the liberated peoples of post-Nazi Europe. Intended mainly to discuss the re-establishment of the nations of war-torn Europe. Potsdam conference concerned the military occupation and reconstruction of Germany, its borders, and the entire European Theatre of War territory. -Yalta: Feb. 1945 -FDR, Churchill, Stalin attended conference -agreements: a. agreed to demand Germany's unconditional surrender b. began plans for a post-war world c. Stalin agreed to permit free elections in Eastern Europe and to enter the Asian war against Japan (Declaration of Liberated Europe) d. Stalin promised the return of lands lost to Japan in the Russo-Japanese War of 1904-1905 e. divide Germany into four 'zones', which Britain, France, the USA and the USSR would occupy after the war. f. bring Nazi war criminals to trial. g. set up a commission to look into reparations h. A government of national unity to be set up in Poland comprising both communists and non-communists -Aftermath: Stalin broke his promise of free elections in Eastern Europe and installed governments dominated by the Soviet Union. -Potsdam: July 17, 1945 - August 2, 1945 -Truman, Stalin, Churchill attended -agreements: a. to set up the four 'zones of occupation' in Germany. b. The Nazi Party, government and laws were to be destroyed c. to bring Nazi war-criminals to trial. d. Russia was allowed to take reparations from the Soviet Zone, and also 10% of the industrial equipment of the western zones as reparations. e. America and Britain could take reparations from their zones if they wished. - Not successful because: Relations between the superpowers had worsened considerably since Yalta. In March 1945, Stalin had invited the non-Communist Polish leaders to meet him, and arrested them. Things had got so bad that, in May 1945, the British Joint Planing Group had drawn up plans for 'Operation Unthinkable' - a 'total war ... to impose our will upon Russia'. Meanwhile, Rooevelt had died, and America had a new president, Truman, who was inclined to 'get tough' with the Russians. Also, soon after he had arrived at the Conference, Truman learned (on 21 July) that America had tested the first atomic bomb. It gave the Americans a huge military advantage over everyone else. It also meant that Truman didn't need Stalin's help in Japan. Instead, Truman's main aim at the conference was to find out from Stalin what date the Russians intended to enter the war in the Pacific - something which (unlike Roosevelt) he did NOT want. -Disagreements: a. the details of how to divide Germany. b. the size of reparations Germany ought to pay. c. Russian influence over the countries of eastern Europe

Great Crash of 1929

-US loans Germany $ for reparations and Germany would give the $ to the allies for the war and the allies would pay the US the same $ for war time payments -Oct 19, 1929 Black Tuesday: stock market crashes and depression follows b/c Hoover did little to prevent it -The name for the period lasting from October 29th to November 13th in 1929 during which the stock market dropped violently, losing much of its value and contributing to the start of the Great Depression, was the impetus for a great number of reforms and regulations related to securities trading. -Investors were buying stocks on margin (only pay a part of the full price) which drove up value of the stocks so high that they were higher than what they were worth. When investors started selling stocks which caused even more people to want to sell which drove prices lower. Some people couldn't sell their stocks for what they still owed on margin. --During the mid- to late 1920s, the stock market in the United States underwent rapid expansion. It continued for the first six months following President Herbert Hoover's inauguration in January 1929. The prices of stocks soared to fantastic heights in the great "Hoover bull market," and the public, from banking and industrial magnates to chauffeurs and cooks, rushed to brokers to invest their surplus or their savings in securities, which they could sell at a profit. Billions of dollars were drawn from the banks into Wall Street for brokers' loans to carry margin accounts. The spectacles of the South Sea Bubble and the Mississippi Bubble had returned. People sold their Liberty Bonds and mortgaged their homes to pour their cash into the stock market. In the midsummer of 1929 some 300 million shares of stock were being carried on margin, pushing the Dow Jones Industrial Average to a peak of 381 points in September. Any warnings of the precarious foundations of this financial house of cards went unheeded. --Prices began to decline in September and early October, but speculation continued, fueled in many cases by individuals who had borrowed money to buy shares—a practice that could be sustained only as long as stock prices continued rising. On October 18 the market went into a free fall, and the wild rush to buy stocks gave way to an equally wild rush to sell. The first day of real panic, October 24, is known as Black Thursday; on that day a record 12.9 million shares were traded as investors rushed to salvage their losses. Still, the Dow average closed down only six points after a number of major banks and investment companies bought up great blocks of stock in a successful effort to stem the panic that day. Their attempts, however, ultimately failed to shore up the market. --The panic began again on Black Monday (October 28), with the market closing down 12.8 percent. On Black Tuesday (October 29) more than 16 million shares were traded. The Dow Jones Industrial Average lost another 12 percent and closed at 198—a drop of 183 points in less than two months. Prime securities tumbled like the issues of bogus gold mines. General Electric fell from 396 on September 3 to 210 on October 29. American Telephone and Telegraph dropped 100 points. DuPont fell from a summer high of 217 to 80, United States Steel from 261 to 166, Delaware and Hudson from 224 to 141, and Radio Corporation of America (RCA) common stock from 505 to 26. Political and financial leaders at first affected to treat the matter as a mere spasm in the market, vying with one another in reassuring statements. President Hoover and Treasury Secretary Andrew W. Mellon led the way with optimistic predictions that business was "fundamentally sound" and that a great revival of prosperity was "just around the corner." Although the Dow Jones Industrial Average nearly reached the 300 mark again in 1930, it sank rapidly in May 1930. Another 20 years would pass before the Dow average regained enough momentum to surpass the 200-point level. --Many factors likely contributed to the collapse of the stock market. Among the more prominent causes were the period of rampant speculation (those who had bought stocks on margin not only lost the value of their investment, they also owed money to the entities that had granted the loans for the stock purchases), tightening of credit by the Federal Reserve (in August 1929 the discount rate was raised from 5 percent to 6 percent), the proliferation of holding companies and investment trusts (which tended to create debt), a multitude of large bank loans that could not be liquidated, and an economic recession that had begun earlier in the summer.

Pacific Theater

-The war in the Pacific, most islands were involved, Japan tried to take these islands and sent 65 bombing raids all the way to Australia. -during World War II, was a major theater of the war between the Allies and Japan. Allied forces were commanded by US general Douglas MacArthur

Containment

-Truman Doctrine(1947): Response to Britain and Mediterranean to assist anti-communists -Berlin Airlift: US opposing communism by delivering supplies -Marshall Plan: Europeans have access to US credit to rebuild a capitalistic society -A U.S. foreign policy adopted by President Harry Truman in the late 1940s, in which the United States tried to stop the spread of communism by creating alliances and helping weak countries to resist Soviet advances -formulated by George Keenan in regards to the Soviets' actions, 1940-1980 • Who: formulated by George Keenan in regards to the Soviets' actions • What: o The main element of any U.S policy toward soviet union, blocking the expansion of soviet influence o This policy had 6 pronged defense strategy • Development of atomic weapons • I.e Hydrogen bomb • Strengthening traditional military • Military alliances with other nations • I.e. NATO • Military and economic aid to friendly nations • I.e. NATO • Espionage network and secret means to subvert communist expansion • I.e. CIA • Propaganda offensive to win popular admiration for US around world -Prevented communism from spreading to other countries in a domino effect. Marked a critical turning point in development in cold war

Atomic Diplomacy

-Truman acting bluntly b/c US had atom bomb -Soviet belief that the United States was maintaining a nuclear monopoly to scare the Soviets into diplomatic concessions -Attempts to use the threat of nuclear warfare to achieve diplomatic goals. Some US policymakers hoped that the US monopoly on nuclear technology and the demonstration of its destructive power in Japan might influence the Soviets to make concessions, and its existence alone would limit Soviet options/be considered a threat to Soviet security. During the Berlin Blockade (1948-49), Truman transferred several B-29 bombers capable of delivering nuclear bombs to the region to signal to the Soviet Union that the United States was both capable of implementing a nuclear attack and willing to execute it if it became necessary. Did not extend past US monopoly on nuclear weapons, aka when the Soviet Union got the bomb.

Home Front (WWII)

-Veronica "Lake Locks": example of unsafe attire in workplace -New Deal prepared US for the war by creating industrial capital -Covers the activities of the civilians in a nation at war. Life on the home front during World War II was a significant part of the war effort for all participants and had a major impact on the outcome of the war. -The war effort mobilized Americans as never before. Factories churned out ever more bombs, bullets, tanks, ships and airplanes, which workers rushed to assemble, leaving their farms and small towns and congregating to cities. -Women took jobs with wrenches and welding torches, boosting nation's workforce and fraying traditional notions that a woman's place was in the home rather than on the assembly line. -Despite rationing and shortages, unprecedented government expenditures for war production brought prosperity to many Americans after years of depression-era poverty. Although Americans in uniform risked lives on battlefields in Europe and Asia, Americans on the U.S. mainland enjoyed complete immunity from foreign attacks-- in sharp contrast to their Soviet and British allies. -The wartime ideology of human rights provided justification for the many sacrifices Americans were required to make in support of the military effort. It also established a standard of basic human equality that became a potent weapon in the campaign for equal rights at home and in condemning the atrocities of the Holocaust perpetrated by the Nazis.

Voluntarism

-Volunteer to help solve depression... Hoover's idea -Hoover believed that individuals should help each other not rely on the gov't. There was a lot of voluntarism but it wasn't enough to overcome the economic depression -Hoover believed that a socially responsible economic order could only be brought about by the voluntary action of capitalist leaders and not through governmental persuasion. Hoover saw this as a way to accelerate the decade's trend towards corporate consolidation and cooperation. -In November 1929, to keep the stock market collapse from ravaging the entire economy, Hoover called a White House conference of business and labor leaders and urged them to join in a voluntary plan for recovery: Businesses would maintain production and keep their workers on the job; labor would would accept existing wages, hours and conditions. -Within a few months, however, the bargain fell apart. As demand for their products declined, industrialists cut production, sliced wages apart and laid off workers. Poorly paid or unemployed workers could not buy much, and their decreased spending led to further cuts in production and further loss of jobs. Thus began the terrible spiral of economic decline.

collective security

-World works to preemptively stop conflict -Japan and Germany quit LoN in 1933 and after Japan attacks China -Rhineland(1936): Hitler breaks Treaty of Versailles by stationing troops -Ethiopia(1935): Italy uses chemical warfare -Spanish Civil War(1936-39): Fascist people vs. anti-fascist gov. -A system in which a group of nations acts as one to preserve the peace of all -The third prong of containment strategy, marked a sharp reversal of the nation's traditional foreign policy. In 1949, the United States joined Canada and Western Europe nations in its first peacetime military alliance, the NORTH ATLANTIC TREATY ORGANIZATION (NATO), designed to counter a soviet threat to Western Europe. For the first time in its history, the United States pledged to go to war if one of its allies was attacked. -The fourth element of defense strategy involved foreign assistance programs to strengthen friendly countries, such as aid to Greece and Turkey and the Marshall Plan. In addition, in 1949 Congress approved $1 billion of military aid to its NATO allies, and the government began assistance to nations in other parts of the world.

Korean War

-began as a civil war between North and South Korea (which had been established by the USSR and US respectively), but the conflict soon became international when, under U.S. leadership, the United Nations joined to support South Korea and China entered to aid North Korea. The war left Korea divided along the 38th parallel. The Korean War was an example of the U.S. Cold War policies of containment and militarization, setting the stage for the further enlargement of the U.S. defense perimeter in Asia (Vietnam) -After WWII, Korea had been partitioned along the 38th parallel into a northern zone governed by the Soviet Union, and a southern zone controlled by the U.S. In 1950, after the Russians had withdrawn, leaving a communist government in the North, the North invaded the South. The U.N. raised an international army led by the U.S. to stop the North. It was the first use of U.N. military forces to enforce international peace. Called a limited war, because the fighting was to be confined solely to the Korean peninsula, rather than the countries involved on each side attacking one another directly. -The war began with an unexpected invasion of South Korea on June 25, 1950. Truman called a special session of the U.N Security Council, where it was voted that a U.N force would defend South Korea. U.S troops made up most of the U.N forces and were led by General Douglas MacArthur. War was never officially declared. At first, the North Koreans were able to push its opponents to the tip of the peninsula, but MacArthur reversed the war by leading a amphibious assault at Inchon. However, in November 1950, Chinese troops crossed into Korea and drove troops out of North Korea. Peace talks began at Panmunjom in July 1951 and an armistice as signed in 1953 where it was decided to divide into North and South Korea along the 38th parallel.