Credit
Short-term loans to buy goods with promises to pay later
Speculation
Investments in high-risk ventures
buying on margin
Buying stock by paying only a portion of the full cost up-front with promises to pay the rest later
Hawley-Smoot Tariff Act
Law that raised taxes on imports and worsened the
Depression
Dow Jones Industrial Average
Index of stock prices of select companies
Great Depression
Period of bad economic times in the United States that lasted from 1929 to 1940
Dust Bowl
Area of the Great Plains made worthless for farming by drought and dust storms in the 1930s
direct relief
Money or food given directly from the government to the needy
Herbert Hoover
31st president
Bonus Army
Unemployed World War I veterans who marched to Washington to demand their war bonuses
What were some of the effects of the stock market crash in October 1929?
High unemployment, world wide depression, collapse of credit
How did what happened to farmers during the 1920s foreshadow events of the Great Depression?
Farmers planted more and took out loans for land and equipment hoping for a good payout when the crop prices declined and farmers lost land.
Why did minorities often experience an increase in discrimination during the Great Depression?
African Americans and Latinos dealt with increasing racial violence from unemployed whites competing for the same jobs. Whites demanded that Latinos be deported, or expelled from the country even though many had been born in America.
How were shantytowns, soup kitchens, and bread lines a response to the Depression?
Many people were evicted from theier homes and ended up in the streets. Some slept in parks or sewer pipes, wrapping themselves in newspapers to fend off the cold. They were able to provide food and shelter from shacks and charitable organization or public agencies
What pressures did the American family experience during the Depression?
many men left their families because they were ashamed they couldn't supply for them. Women worked hard to help and canned food and sewed clothes. Children were often malnourished and went to work instead of going to school.
How did Hoover's treatment of the Bonus Army affect his standing with the public?
Hoover's image suffered. The downturn in the economy and Hoover's inability to deal effectively with the Depression had sealed his political fate.
How did President Hoover finally try to use the government to relieve the Depression?
He asked employers not to cut wages or lay off workers, and he asked labor leaders not to demand higher wages or go on strike. He created a special organization to help charities generate contributions for the poor. The Dam was constructed to provide electricity, flood control, and regular water supply.
