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Herbert Hoover
1929 Herbert Hoover is President; blames American people for the state of affairs; does not see a real economic problem or predict the Great Depression -
The Great Depression
Begins with the crash of the US Stock Market in 1929; continues until the late 1930's; most of the world is in a depression -
Investors Loose Faith
Great Depression results in loses for investors; people stop investing in the stock market; businesses lose money and fail -
Hoovervilles
Soup kitchens and bread lines cover the US; Hoovervilles named after President Hoover were poorest of towns; Americans living in cardboard boxes -
American Workforce
Unemployment rate is at an all time high; production significantly decreases; 25% of the population is unemployed -
Franklin D. Roosevelt President
FDR is elected as President of the United States; FDR believes the US needs to be fixed; banks need laws and processes changed -
Women and Business
Women entered the workforce in the 1920's with liberation; the Great Depression and closing businesses sent women back to working at home -
The New Deal
FDR proposed The New Deal; banking and businesses would go through a process of reform and rebuilding; FDR tried to calm the public by saying" the only thing we have to fear is fear itself" -
Impact of the New Deal
The New Deal would yield many new programs; two important ones are the FDIC and the SEC -
Federal Deposit Insurance Corporation
FDIC created by the 1933 Banking Act to protect individual banking accounts in the event of bank failure; a federal insurance protection plan -
Securities and Exchange Commission
Created by the Securities Exchange Act of 1934; provided the investors must receive valid financials of a company to invest as well as other market rules -
Recovery of the US
Works Progress Administration and other regulations passed to promote business, safer investments and better working conditions -
Wagner Act
Allowed workers to join organized labor for fair treatment and wages -
The Good Stuff- Technology
Inventions including the electric razor, car radios, supermarkets, wringer washer, copy machines, Monopoly and chocolate chip cookies! -
World War II
WWII begins in Europe and an uncertain US starts to prepare which yields more jobs both private and public -
Pearl Harbor Attack
Puts the US into WWII; factories go into full production mode to produce military needs and the unemployment rate declines -
Women in Industry
World War II meant industry would thrive again and workforce was needed; men went to war and women went to the factories, farms and businesses with a booming economy once again -
Summary
1929 stock market crash resulting in an economic halt affecting market, investors, banking, and business. Ten years, two presidents, regulations and a world war to recover.
