friday december 4 words of the day! stock market= purpose described on page 384 speculator and...
TRANSCRIPT
Friday December 4 Words of the day!
Stock Market= purpose described on page 384
Speculator and speculative bubble = purpose described on page 849
Words of the day!
Purpose of the Stock Market=
provide businesses with money from investors to grow
Words of the day!
Speculator = someone who takes a risk and buys something with the hope of selling it at a higher price
Speculative bubble = unrealistic rise in economic values
December 4, 2008 HOT ROC: How do we avoid speculative bubbles?Are they positive or not or both?
Read 30.4 and add to your causes list
30.3 Review:
What caused overproduction?
What caused under consumption?
More ideas from the 20s:More causes of underconsumption
Inheritance and income tax decreases
Union membership decreases
Farmers and credit McNary Haugen=aid to
farmers was vetoed 2x by Coolidge
30.4
Quick History of the National Bank: Hamilton suggested the 1st in 1789;
used the elastic clause 2nd bank chartered in 1816 Jackson “killed” (vetoed) the Bank in
1832 Wilson created the Federal Reserve
in 1913: rules for private banks, sets interest rates to banks
30.4: Federal Reserve:
1920s: Low interest rates?effect?
1931: Raises interest rates?effect?
30.4
Hawley – Smoot Tariff of 1930
?increase or decrease consumption?
Create cause and effect diagram
Meet with “blues” or “reds” and post your
causes in an a meaningful order that explains the causes of the Great Depression
December 7Hot ROC:
What causes and what effects of theGreat Depression are portrayed in thisPhotograph?
President Hoover (R) 1929-1933President G.W. Bush (R) 2001-2009
President F.D. Roosevelt (D) (1933-1945)President Barack Obama (D) ( 2009-?)
Application projects: 3 options
1. Follow and graph and analyze your stock portfolio and compare 1929 to 2009.
2. Create a graphic portrayal of the causes of the Great Depression
( at least 15 items)3. Create an add to sell one of the
New Deal agenciesWhat, who, why, where, when, ideal
Prep Time:30 Min
Cook Time:30 Min Ready In: 1 Hr 20 Min
Original Recipe Yield 3 - 9 inch round pans
Ingredients 2 cups boiling water 1 cup unsweetened cocoa powder 2 3/4 cups all-purpose flour 2 teaspoons baking soda 1/2 teaspoon baking powder 1/2 teaspoon salt 1 cup butter, softened 2 1/4 cups white sugar 4 eggs 1 1/2 teaspoons vanilla extract
DirectionsPreheat oven to 350 degrees F (175 degrees C). Grease 3 - 9 inch round cake pans.
In medium bowl, pour boiling water over cocoa, and whisk until smooth. Let mixture cool. Sift together flour, baking soda, baking powder and salt; set aside.
In a large bowl, cream butter and sugar together until light and fluffy. Beat in eggs one at time, then stir in vanilla. Add the flour mixture alternately with the cocoa mixture. Spread batter evenly between the 3 prepared pans.
Bake in preheated oven for 25 to 30 minutes. Allow to cool. Nutritional Information Amount Per Serving Calories: 427 | Total Fat: 18.3g | Cholesterol: 111mg
http://video.google.com/videoplay?docid=-6006084025483872237&q=honda
President Hoover’s Response to the Depression
10.6.2 Understand the explanations of the principal causes of the Great Depression and the steps taken by the Federal Reserve, Congress, and Presidents Herbert Hoover and Franklin Delano Roosevelt to combat the economic crisis.
Election of 1928
Herbert Hoover
Son of a blacksmith Grew up in Iowa. Parents died when Hoover was young Did not attend high school but attended night
school Entered Stanford in the University’s first class Became a millionaire as a mining engineer before
he was 40 WWI successful Chair of Relief and Food
Administration using volunteerism Cabinet Secretary of Commerce "My boyhood ambition was to be able to earn my
own living, without the help of anybody, anywhere.”
- Herbert Hoover
How did Hoover’s background influence his response to the Great Depression?
How bad was the Depression?
Between 1929 and 1933, 100,000 businesses failed
Corporate profits fell from $10 billion to $1 billon
Between 1929 and 1933, 10,000 banks failed—2.5 billion lost in savings
By 1933, at least 13 million workers were unemployed (25% of the work force) and many were underemployed
Malnutrition increased, as did tuberculosis, typhoid and dysentery
Herbert Hoover’s Beliefs
Believed in self-reliance, rugged individualism, and hard work
Government help encourage people’s dependence on handouts
Private charities should help
Word of the day: Unemployment
Vocab Term The condition
of being out of work; the number of unemployed persons relative to the potential labor force
Hoovervilles
Shantytowns that homeless Americans in many cities built out of crude cardboard and tarpaper
So what did Hoover do?T-Chart
Hoover’s Responses to the Great Depression (pgs.396-397)
FDR’s Responses to the Great Depression
So what did Hoover do?
Rejected direct relief Urged Americans to turn to
community and church resources Gradually used federal agencies to
address issues Set up RFC (Reconstruction Finance
Corporation) in 1932 to make loans to stimulate economy in a "trickle-down" manner
1929 October - The stock market crash
"Any lack of confidence in the economic future or the basic strength of business in the United States is
foolish."--President Herbert Hoover 1930 March - More than 3.2 million people are
unemployed President Hoover remained optimistic stating that:
"all the evidences indicate that the worst effects of the crash upon unemployment will have passed during the
next sixty days.“
1931 February - "Food riots" begin to break out in
parts of the country. People smashed the windows grocery markets and made off with the food.
Resentment of "foreign" workers increases along with unemployment rolls.
Reconstruction Finance Corporation
In January, Hoover formed the Reconstruction Finance Corporation in order to lend $2 billion to banks, insurance companies, building and loan associations, agricultural credit organizations and railroads.
In July, R.F.C. the was authorized to lend money to needy states for relief and public works projects.
1932
Bonus Army
Determined to collect their "bonus" pay for service, between 15,000 to 25,000 World War I veterans gather and begin setting up encampments in Washington, D.C.
A bill was introduced into Congress authorizing immediate payment of "bonus" funds. Passed in the House but not in the Senate.
In July, Hoover orders the removal of the veterans who were determination to stay camped out until they got their pay. Troops used tear gas and tanks to push the veterans out of D.C.
1932