On Tuesday, October 29, 1929, the United States stock market suddenly and completely collapsed. This event is known as Black Tuesday and is attributed by many historians to be the start of the worst financial crisis in U.S. history, The Great Depression. The Great Crash itself had a devastating impact. Hundreds of banks failed, and because bank deposits were uninsured, their depositors lost some or all of their money. “Frightened customers drew their savings from solvent banks, forcing them to close.”1 And that was just the beginning. Government’s response to the Great Depression changed the lives of non-elite members of society. It changed them negatively at first. Herbert Hoover’s strategies for fixing the economy failed and drove these working class people even farther into debt and poverty. The unemployment rate was so high that some out of work people were so poor that they resorted to living in boxes, and packing crates, and the only meals they ate were obtained courtesy of a local soup kitchen. Things began to look up when FDR took over as president. His plans for stimulating the economy worked, and in a big way. The federal agencies that he instituted provided millions of jobs, and poured mass amounts of money back into the nation’s economy.
1 James A. Henretta, America A Concise History. (New York: Bedford/ St. Martin’s 2010) 692
Working class people, also known as the non-elite members of society, were extremely worried during the Great Depression. They were worried not only about their future, but about their present. This was due to the fact that President Herbert Hoover’s strategies for making the economy better, and improving the lives of the American people were failing. An example of this was the Revenue P...
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...23 percent of the nonfarm workforce. It was FDR’s belief that encouraging these unions to fight for and gain higher wages would increase the purchasing power of the working class thus, stimulate the economy.
In conclusion, government’s response to the Great Depression changed the lives of non-elite members of society. It changed them negatively at first because, Herbert Hoover’s strategies for fixing the economy failed and drove working class people even farther into debt. Things changed when FDR took over as president. The federal agencies that he instituted provided millions of jobs, and poured mass amounts of money back into the nation’s economy. This helped the non-elite members of society get back on their feet and help build America into a world superpower.
3 James A. Henretta, America A Concise History. (New York: Bedford/ St. Martin’s 2010) 715
After nearly a decade of optimism and prosperity, the United States took a turn for the worse on October 29, 1929, the day the stock market crashed, better known as Black Tuesday and the official beginning of the Great Depression. The downfall of the economy during the presidency of Herbert Hoover led to much comparison when his successor, Franklin D. Roosevelt, took office. Although both presidents had their share of negative feedback, it is evident that Hoover’s inaction towards the crisis and Roosevelt’s later eccentric methods to simulate the economy would place FDR in the positive limelight of fixing the nation in one of its worst times. Herbert Hoover was sworn into office when the economic status of the country stood at its highest and the nation was accustomed to a prosperous way of living. When the stock market plummeted and took its toll on the citizens from coast to coast, it was out of his control.
In the Roaring Twenties, people started buying household materials and stocks that they could not pay for in credit. Farmers, textile workers, and miners all got low wages. In 1929, the stock market crashed. All of these events started the Great Depression. During the beginning of the Great Depression, 9000 banks were closed, ending nine million savings accounts. This lead to the closing of eighty-six thousand businesses, a European depression, an overproduction of food, and a lowering of prices. It also led to more people going hungry, more homeless people, and much lower job wages. There was a 28% increase in the amount of homeless people from 1929 to 1933. And in the midst of the beginning of the Great Depression, President Hoover did nothing to improve the condition of the nation. In 1932, people decided that America needed a change. For the first time in twelve years, they elected a democratic president, President Franklin D. Roosevelt. Immediately he began to work on fixing the American economy. He closed all banks and began a series of laws called the New Laws. L...
The Roosevelt administration's response to the Great Depression served to remedy some of the temporary employment problems, while drastically changing the role of the government, but failed to return the American economy to the levels of prosperity enjoyed during the 1920's.
Eibling, Harold H., et al., eds. History of Our United States. 2nd edition. River Forest, Ill: Laidlaw Brothers, 1968.
...he Oxford Journals, The Journal of American History, Volume 93, Issue 1.2013. Accessed November 20, 2013. http://jah.oxfordjournals.org/content/93/1/290.extract.
During the 1920’s, America was a prosperous nation going through the “Big Boom” and loving every second of it. However, this fortune didn’t last long, because with the 1930’s came a period of serious economic recession, a period called the Great Depression. By 1933, a quarter of the nation’s workers (about 40 million) were without jobs. The weekly income rate dropped from $24.76 per week in 1929 to $16.65 per week in 1933 (McElvaine, 8). After President Hoover failed to rectify the recession situation, Franklin D. Roosevelt began his term with the hopeful New Deal. In two installments, Roosevelt hoped to relieve short term suffering with the first, and redistribution of money amongst the poor with the second. Throughout these years of the depression, many Americans spoke their minds through pen and paper. Many criticized Hoover’s policies of the early Depression and praised the Roosevelts’ efforts. Each opinion about the causes and solutions of the Great Depression are based upon economic, racial and social standing in America.
Henretta, James A and David* Brody. America: A concise History . Boston: Bedford/St. Martin's, 2010. Document.
Divine, Robert A. America past and Present. 10th ed. Upper Saddle River, NJ: Pearson Education/Longman, 2013. 245. Print.
In response to the Stock Market Crash of 1929 and the Great Depression, Franklin D. Roosevelt was ready for action unlike the previous President, Hubert Hoover. Hoover allowed the country to fall into a complete state of depression with his small concern of the major economic problems occurring. FDR began to show major and immediate improvements, with his outstanding actions during the First Hundred Days. He declared the bank holiday as well as setting up the New Deal policy. Hoover on the other hand; allowed the U.S. to slide right into the depression, giving Americans the power to blame him. Although he tried his best to improve the economy’s status during the depression and ‘pump the well’ for the economy, he eventually accepted that the Great Depression was inevitable.
... An American History of the World. 4th ed. of the book. W.W. Norton, 2012, 671. 2.)
George Browm Tindall, David Emory Shi. American History: 5th Brief edition, W. W. Norton & Company; November 1999
The Great Depression was one of the greatest challenges that the United States faced during the twentieth century. It sidelined not only the economy of America, but also that of the entire world. The Depression was unlike anything that had been seen before. It was more prolonged and influential than any economic downturn in the history of the United States. The Depression struck fear in the government and the American people because it was so different. Calvin Coolidge even said, "In other periods of depression, it has always been possible to see some things which were solid and upon which you could base hope, but as I look about, I now see nothing to give ground to hope—nothing of man." People were scared and did not know what to do to address the looming economic crash. As a result of the Depression’s seriousness and severity, it took unconventional methods to fix the economy and get it going again. Franklin D. Roosevelt and his administration had to think outside the box to fix the economy. The administration changed the role of the government in the lives of the people, the economy, and the world. As a result of the abnormal nature of the Depression, the FDR administration had to experiment with different programs and approaches to the issue, as stated by William Lloyd Garrison when he describes the new deal as both assisting and slowing the recovery. Some of the programs, such as the FDIC and works programs, were successful; however, others like the NIRA did little to address the economic issue. Additionally, the FDR administration also created a role for the federal government in the everyday lives of the American people by providing jobs through the works program and establishing the precedent of Social Security...
... Conference.” Reader’s Companion to American History. Houghton Mifflin Company, 1991. Online. Internet. Available at HTTP: http://www.historychannel.com/. 23 Sept 2001.
3. Divine, Breen, Fredrickson, Williams, eds., America Past and Present Volume II: since 1865 sixth edition (New York: Longman 2002).
The United States faced the worst economic downfall in history during the Great Depression. A domino effect devastated every aspect of the economy, unemployment rate was at an all time high, banks were declaring bankruptcy and the frustration of the general public led to the highest suicide rates America has ever encountered. In the 1930’s Franklin D Roosevelt introduced the New Deal reforms, which aimed to “reconcile democracy, individual liberty and economic planning” (Liberty 863). The New Deal reforms were effective in the short term but faced criticism as it transformed the role of government and shaped the lives of American citizens.