Chapter 23: New Deal America, 1929-1939
Match each term with the appropriate description.
- "Hard Times Ain't Gone Nowhere": song that spoke to the continued grievances faced by African Americans - tramps: usually men who lived on the road or the train; also called hobos - poorhouses: initially housed those made homeless by the economic downturn - "Remember My Forgotten Man": song that spoke to the plight of households with jobless or absent husbands - soup kitchens: distribution points where the hungry could receive the bare necessities of food and water
Identify the First New Deal policies.
- Civil Conservation Corps: provided jobs for Americans repairing roads, laying sewer lines, constructing airports or schools, and teaching in small rural public schools - Agricultural Adjustment Act: paid farmers to limit their livestock and crop production in order to increase crop prices - Federal Deposit Insurance Corporation: lessened the potential of future panics by guaranteeing that saving accounts up to a certain amount would be reimbursed with government funds in the event of bank failure - Securities and Exchange Commission: a federal regulatory agency established to monitor the purchase and sale of stocks and bonds under the new enforcement laws - National Recovery Administration: sought to promote economic growth by allowing large corporations to establish prices among themselves for certain products
Identify the following economic acts or strategies that occurred during the economic crisis of the 1930s.
- Emergency Relief Act: Hoover's response to calls for federal aid for struggling Americans to finance construction projects at the state level - Revenue Act of 1932: a major tax increase that was poorly timed and further contributed to the economic crisis - Reconstruction Finance Corporation: an attempt by Congress, supported by Hoover, to aid banks and other struggling entities by providing them with emergency loans
Identify how the following programs in Roosevelt's Second New Deal changed the role of the federal government.
- Works Progress Administration: allowed the government to employ millions of Americans to work on public works projects - Wagner Act: created an organization to oversee unions - Court-packing plan: reformed the Supreme Court, and gave the Court more authority to ensure the civil liberties of all Americans - Social Security Act: created several social-welfare programs to protect Americans who were not working
Complete the passage below regarding the state of Europe's economy toward the end of the 1920s.
As European countries began to recover from the FINANCIAL RUIN brought about by the First World War, they REDUCED their purchases of U.S. goods. Additionally, debts owed by European countries to America prompted U.S. banks to lend such nations huge amounts of money, which only contributed to their overall DEBT. When the banks could no longer support European countries, and government policies made it more difficult to SELL European goods in America, both the European and American economies spiraled into a depression.
What criticism of the New Deal did supporters of the Townsend Plan and the Share-the-Wealth Society have in common?
Both programs called for far greater income redistribution from the wealthy to the poor than New Deal programs.
Complete the passage below describing how Congress improved working conditions during the Second New Deal.
Congress created a MINIMUM WAGE and limited the workweek to FORTY HOURS. The FAIR LABOR STANDARDS ACT made SIXTEEN the minimum age for employment. Congress' new laws applied to businesses ENGAGED IN INTERSTATE COMMERCE.
Which of the following statements reveals the impact of the Great Depression on families?
Correct Answer(s) - Birth rates decreased. - Divorce rates declined as couples could not afford to live separately or pay the legal fees to separate.
What was Treasury Secretary Andrew Mellon's initial approach to handling the economic crisis of the 1930s?
Correct Answer(s) - He sought to let the economy work itself out. - He denied that any crisis existed.
Identify Roosevelt's strategy for providing federal work relief to jobless Americans, and evaluate its success.
Correct Answer(s) - His strategy was initially limited to the state level; however, he implemented a federal work relief program soon after. - As unprecedented as the work relief projects were, Roosevelt viewed these programs as temporary and was reluctant to sustain them.
What was President Hoover's early approach to the Great Depression, and how did his strategy affect the economy's recovery?
Correct Answer(s) - Hoover sought to convince business, labor, and other industry leaders to play their part in getting the economy back on track. - Hoover took an active role in attempting to end the Great Depression. - Hoover's efforts were unsuccessful.
How did Steinbeck's The Grapes of Wrath speak to the experiences of many Americans during the Great Depression?
Correct Answer(s) - It depicted the plight of those who had to leave their homes to travel to the Far West in search of work when farming became impossible in the Dust Bowl. - It depicted the disgrace a poor woman felt after she accepted relief from a charitable institution. - It illustrated the general shame felt by all classes of Americans in need of relief funds.
What impact did the stock market crash of 1929 have on the American economy?
Correct Answer(s) - It exposed the shaky foundations of the 1920s economy. - It led to a widespread panic that deepened the economic crisis.
Identify the impacts of the Dust Bowl that took place in the 1930s.
Correct Answer(s) - It had a severe impact on the agricultural industry in the Midwest and the Mississippi Valley, as crops died and farmers could no longer afford their property. - It was the result of a severe drought, which led an extraordinary amount of topsoil to engulf farms and towns.
In what ways did the Tennessee Valley Authority impact the Appalachian region?
Correct Answer(s) - It produced the Great Lakes of the South through the construction of dams. - It directed electricity into the region. - It encouraged conservation efforts throughout the region.
What were some of the shortcomings of the New Deal for African Americans?
Correct Answer(s) - The FHA did not provide mortgages for African Americans who wanted to live in white neighborhoods. - The Agricultural Adjustment Act's incentives for farmers to take land out of production forced hundreds of thousands of black tenant farmers out of work. - Both the CCC and the TVA practiced segregation.
Identify the reasons why Roosevelt's critics were opposed to the National Recovery Administration (NRA).
Correct Answer(s) - The NRA did not protect agricultural and domestic workers. - The NRA supported big corporations over small businesses.
Identify the reasons why Roosevelt's critics opposed the New Deal.
Correct Answer(s) - The United States still suffered from the Great Depression, and Roosevelt's programs didn't do enough to improve the economy. - The New Deal increased taxes and was too socialist
How did the role of the federal government change under Roosevelt?
Correct Answer(s) - The government became responsible for ensuring a minimum quality of life for Americans. - The government became responsible for reg- ulating the economy and ensuring stability.
What was the objective of the Smoot-Hawley Tariff, and how did this bill contribute to the Great Depression?
Correct Answer(s) - The tariff prompted numerous countries to steer their exports away from the United States and imposed obstacles to selling American goods abroad. - It sought to aid the struggling agricultural sector and other industries by eliminating foreign competition.
The causes of the Great Depression continue to be debated by economists, though many argue that it was a combination of various factors that led to the economic collapse. What were some of these contributing factors?
Correct Answer(s) - There were more goods in circulation than Americans could afford to buy. - High tariffs were imposed by the U.S. government to protect domestic companies.
How did Roosevelt's vision in the 1932 presidential election differ from that of Hoover, the incumbent president?
Correct Answer(s) - Unlike Hoover, Roosevelt believed in using federal funds to thwart poverty and stimulate economic recovery. - Roosevelt was a strong believer in experimenting with new and bold strategies to revive the economy.
Identify the components of Roosevelt's three-pronged strategy that he sought to implement in his First Hundred Days.
Correct Answer(s) - subsidize the farm sector to boost low prices - promote compromises between management and labor - provide temporary aid for the unemployed
Eleanor Roosevelt was an important advocate for President Roosevelt's New Deal, embarking on a national tour that was instrumental in winning support for his programs. Which of the following accomplishments of the early New Deal express the humanitarian goals she promoted?
Correct Answer(s) - the Federal Emergency Relief Agencies and other programs that together hired 300,000 women
During the early period of the Great Depression, millions of Americans suffered through which of the following experiences?
Correct Answer(s) - unemployment - hunger - homelessness
During the early years of the Great Depression, millions of Americans suffered from rising inflation, a collapsing financial system, food shortages, and land evictions. But because most were willing to endure severe wage decreases, employment remained steady.
False
During the early years of the economic downturn, national observers noted both the outpouring of support for government relief efforts and how local businesses united in their attempts to keep workers employed and the economy afloat.
False
Hoover's response to the Bonus Expeditionary Force protest revealed his concern for the plight of unemployed and desperate Americans. Hoover supported the demands of the veterans for increased benefits, but could not persuade Congress to spend the extra money.
False
Roosevelt ensured that his Second New Deal programs would stand by filling the Supreme Court with justices who supported him.
False
The First New Deal primarily focused on stimulating the economy in order to end the economic downturn. It did little to address the human suffering that resulted from the Great Depression.
False
The success of the Democratic party in the 1930 election forced Hoover to alter his strategy on the economy in order to gain public support.
False
Though the economy was soaring by 1927 as a result of consumer spending, investments into the stock market were beginning to slow.
False
Complete the passage below describing why Father Charles E. Coughlin, the popular "radio priest" and founder of the National Union for Social Justice, attacked the New Deal and Roosevelt.
Father Charles E. Coughlin believed that Roosevelt's New Deal was too COMMUNIST. In his speeches he accused Roosevelt of being used by THE JEWS. He APPLAUDED Hitler's anti-Semitic policies and SUPPORTED the idea of similar policies in the United States.
What did Hoover believe to be the potential solution to the social crisis that emerged from the Great Depression?
He believed that volunteer efforts by generous Americans and charitable groups would provide adequate relief.
Complete the passage below describing some of the regulatory policies implemented under the First New Deal to address the nation's shaky financial sector.
In addition to creating the Federal Deposit Insurance Corporation, the BANKING Act of 1933 also included a crucial section called the GLASS-STEAGALL ACT, which blocked COMMERCIAL banks from investing their consumers' savings in the stock market by SEPARATING commercial banking and investment banking into two distinct categories. Those banks categorized as investment were the ONLY banks allowed to participate in the stock market.
How did Native Americans' attitudes regarding the New Deal change over time?
Native Americans were optimistic at first, but quickly became disappointed in the New Deal, as it failed to improve their lives in significant ways.
Complete the passage below describing the first decisions that Roosevelt made to address the collapse of thousands of the nation's banks.
One of Roosevelt's advisors claimed that in his first eight days as president, Roosevelt "saved CAPITALISM." Most of this can be attributed to Roosevelt's push for the Emergency BANKING Relief Act, which led to a four-day CLOSURE of all banks in order to diffuse the panic surrounding the financial sector. Roosevelt reinforced his strategy through FIRESIDE chats, during which he assured Americans that they could safely deposit their money in banks once again. These reassurances proved successful as people RETURNED their money to the banks once they reopened.
Complete the passage below describing how Roosevelt's Second New Deal influenced the Democratic party.
Roosevelt enjoyed a sizeable victory in the election of 1936, and the Democrats controlled Congress. Many of Roosevelt's policies CAUSED A RIFT in the DEMOCRATIC party. The president's COURT-PACKING plan drew HARSH CRITICISM from Congress. SOUTHERN DEMOCRATS did not like the increasing number of AFRICAN AMERICANS and unionists who supported Roosevelt.
Identify how Roosevelt's Second New Deal programs differed from the programs in his First New Deal.
Roosevelt's Second New Deal programs focused on social justice while the first programs were designed to save the economy.
The Supreme Court was hostile to many New Deal elements during Roosevelt's first term, ruling that elements such as the NRA were unconstitutional in seven out of nine cases that it reviewed. What was the main theme of the Court's decisions?
The Court ruled that the New Deal gave too much power to the federal government.
After the stock market crash of 1929, the Federal Reserve reduced the nation's money supply in an attempt to prevent inflation in consumer prices and restore confidence in the economy. This policy shrunk the nation's money supply by one-third between 1929 and 1932. What impact did this action have on the economy?
The Federal Reserve withdrew money from the economy, slowing economic growth rather than stimulating it.
Complete the passage below describing an act of Congress.
The SECURITIES Exchange Act of 1933 created greater transparency in the SALE of stocks and bonds by demanding that all corporations selling their stock PUBLICITY divulge pertinent information about their COMPANY to better inform buyers.
Complete the passage below regarding the experiences of various ethnic communities during the Great Depression.
The black community was one of the most SERIOUSLY AFFECTED groups during the Great Depression, as many African Americans were already poor, barely scratching out a living in the South on small farms. Those who had migrated north to work in FACTORIES were often the first to lose their jobs. Blacks, Mexicans, and Asians were often REFUSED government or private charitable assistance. Facing increased competition from white and Mexican Americans, many ASIAN migrant farm workers in the West migrated to cities. As the economy spiraled downward, Mexicans Americans were subject to calls for DEPORTATION to Mexico regardless of their residency status. As many as 500,000 Mexican Americans were eventually deported to Mexico.
The Mississippi governor Theodore Bilbo stated in 1931, "Communism is gaining a foothold ... . In fact, I'm feeling a little pink myself." Analyze this quotation, and evaluate its significance for American society during the Great Depression.
The governor was worried that sympathy for communism would gain support among economically devastated Americans in the early years of the Great Depression.
Complete the passage below regarding the economic and social status of women during the Great Depression.
Though women had a LOWER rate of joblessness during the Great Depression, they were also tasked with providing EMOTIONAL SUPPORT to their families if their husbands were LAID OFF. Due to their disproportionately low-paying jobs, women were often able to CONTINUE WORKING while men with higher wages lost their jobs. As the economy worsened, however, some people claimed that women were "stealing" jobs from men. States consequently began passing laws BARRING married women from the workforce.
Social Security has been one of the most enduring legacies of the New Deal, even though Roosevelt never intended for retired Americans to depend solely on Social Security from the federal government during their retirement.
True
The Civilian Conservation Corps was one of the most successful jobs programs of the early New Deal.
True
Identify the effect that Roosevelt's Second New Deal programs had on unions.
Unions gained membership and became more widely recognized by employers.
When the Bonus Expeditionary Force marched on Washington to demand that Congress assist economically strapped World War I veterans, how did President Hoover respond?
When Congress did not act on the veterans' demands, Hoover's primary concern was to remove the homeless veterans who remained camped out near the Capitol building. He made no effort to address their demands for a bonus on their pensions.
What did President Herbert Hoover mean when he warned about the "orgy of mad speculation"? Complete the passage below regarding the status of the stock market and investment practices on the eve of the Great Depression.
While the U.S. stock market had GROWN steadily since 1924, RECKLESS SPECULATION that began in 1927 contributed to a surge in the stock value of American companies. A specific investment practice that allowed stocks to be purchased "ON MARGIN" with a modest down payment enabled investors to borrow the rest of the money from a STOCKBROCKER. When stock values began to plummet, STOCKBROKERS called in these "margin" loans, but investors, who had expected STOCK PROFITS to cover these loans, weren't able to repay what they had borrowed.
