-
Hoover signed the Smoot-Hawley Tariff Act, which raised taxes on 900 imports. It originally was supposed to help farmers but ended up imposing tariffs on hundreds of other products.
-
That led to failures of affiliate banks in the next few days. Although the economy was improving, weaknesses in the banking system pulled it back down. Only one-third of the nation's 24,000 banks belonged to the Federal Reserve banking system. Non-members did not have enough access to reserves to fend off bank runs. As bank failures grew, depositors rushed to banks to pull out their savings.
-
The Bank of the United States failed. It was the fourth-largest bank in the nation, and the largest bank failure in history at that time. Worried about budget deficits, Hoover returned the top income tax rate to 25%. The economy shrank 8.5%. The unemployment rate rose to 8.7%. Deflation set in as prices fell 6.4%.
-
The drought continued, hitting eight Southern states the worst. It was the worst drought in the 20th century for Arkansas.
The economy shrank 6.4%. The unemployment rate rose to 15.9%. Prices fell another 9.3% People began to suffer the worst effects of the Great Depression. -
lend $2 billion to financial institutions to prevent further failures. In July, Congress authorized it to lend money to states for relief.
-
Bank failures slowed, construction contracts increased 30% and department store sales rose 8 percent.
Fourteen dust storms hit the Midwest. The economy shrank 12.9%, unemployment rose to 23.6%, and prices fell 10.3%. -
It increased the top income tax rate to 63%. He wanted to reduce the federal deficit. Hoover believed it would also restore confidence. Instead, higher taxes worsened the Depression.
-
The Civil Works Administration created four million construction jobs.
-
The worst dust storm ever. FDR passed the Soil Conservation Act to teach farmers sustainable methods.
-
The Emergency Relief Appropriation created the Works Progress Administration to hire 8.5 million people.
-
Eight states experienced temperatures at 110 degrees or greater. Throughout the year, the heat wave directly killed 1,693 people. Another 3,500 people drowned while trying to cool off.
-
The economy started contracting again,as the Depression resumed. For the year, the economy grew 5.1%, unemployment fell to 14.3%, and prices rose 2.9%. The debt rose to $37 billion.
-
The economy started to grow again. The Great Depression was over. For the year, the economy shrank 3.3%. Unemployment rose to 19%. Prices fell 2.8%. The debt remained steady at $37 billion.
-
Hitler invaded Poland, starting World War II.The economy grew 8%, unemployment fell to 17.2%t, and prices remained flat. The debt rose to $40 billion.
