Tuesday, April 2, 2013

Blog #22 The Great Depression and the New Deal

Students,

The following questions should be answered by Wednesday, April 10, 2013. Students, essay questions should be answered in your own words by summarizing, paraphrasing, and/or analyzing content information. You should use the textbook or internet as a resource but not to copy and paste or write in someone else's words. Content information should be accurate and based on informational readings and text.Students are to select one (1) question to answer in two detailed paragraphs and state a thesis sentence based on your argument to be explained (Thesis statement should be the 1st or 2nd sentence). Grammatical errors should be reviewed and corrected before submitting your essay questions. The essay is worth 80 points total.

Extension Assignment- Students should comment on at least two of their classmates’ essays by Friday, April 12,2013, 12:00a.m. Your comments should be at least 2-3 sentences in length. he comment should be a critical evaluation of the essay and explain whether you agree with the argument or disagree. This assignment will allow students to become peer supporters in this AP US History class and help critic the writings of their classmates. This assignment is worth 20 points (10 points per comment). Your overall grade will come from Mrs. Ladd.

Students, remember select one question from the following questions listed below:
1.Compare and contrast Herbert Hoover's economic policies with those of Franklin D. Roosevelt.

2. Analyze the role of TWO of the following in explaining the causes of the Great Depression:
Farm Problems
Income Distribution
World Trade and Finance

3. Select TWO New Deal agencies or commissions and assess how well each satisfied the three R's of relief, recovery, and reform.

39 comments:

  1. Compare and contrast Herbert Hoover's economic policies with those of Franklin D. Roosevelt.

    Herbert Hoover delayed taking action to help and revive the economy allowing the Great Depression to become the greatest economic crisis in the history of the U.S. Roosevelt took immediate action by enforcing the New Deal and even though it didn't solve the Depression it put people back to work and it lead the country out of the Depression.

    President Hoover believed the nation could get through the difficult times if the people took his advice about exercising voluntary action and restraint. Hoover urged businesses not to cut wages, unions not to strike and private charities to increase their efforts for the needy and jobless. Until the summer of 1930, he hesitated to ask Congress for legislative action on the economy, fearing that government assistance would destroy their self reliance. In June of 1930, President Hoover passed a schedule of tariff rates that was the highest in history. The Hawley Smoot Tariff passed by the Republican Congress set tax increases ranging from 31 percent to 49 percent on foreign imports. Its political proposes was to satisfy U.S. business leaders who thought a higher tariff would protect their markets from foreign competition, but it backfired because European countries enacted higher tariffs of their own against U.S. goods. The effect was to reduce trade for all nations, meaning that both the national and international economies sank further into depression.Franklin Roosevelt on the other hand took a different approach.

    During the early years of Franklin D. Roosevelt's presidency, he organized his new deal programs. The three R’s: relief for people of our work, recovery for business and the economy as a whole, and reform of American economic institutions.

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  2. #3. Select TWO New Deal agencies or commissions and assess how well each satisfied the three R's of relief, recovery, and reform.

    The New Deal was a series of economic programs enacted in the United States between 1933 and 1936.The programs were in response to the Great Depression, and focused on what historians call the "3 Rs"which are Relief Recovery, and Reform. That is, Relief for the unemployed and poor Recovery of the economy to normal levels and Reform of the financial system to prevent a repeat depression.The Federal Emergency Relief Administration, for instance, provided $500 million for relief operations by states and cities, while the short-lived CWA (Civil Works Administration) gave localities money to operate make-work projects in 1933-34. The "Second New Deal" in 1935–38 included the Wagner Act to promote labor unions, the Works Progress Administration (WPA) relief program and the Social Security Act, and new programs to aid tenant farmers and migrant workers. The final major items of New Deal legislation were the creation of the United States Housing Authority and Farm Security Administration, both in 1937, and the Fair Labor Standards Act of 1938, which set maximum hours and minimum wages for most categories of workers.

    The New Deal was also a defining moment in American history comparable in impact to the Civil War. Never before had so much change in legislation and policy emanated from the federal government, which, in the process, became the center of American political authority.The New Deal was popular among voters leading to the formation of the New Deal Coalition, which made the Democrats the majority party during the Fifth Party System into the 1960s. However a Conservative Coalition took control of Congress in 1937 and blocked nearly all additional programs; during the war years (1941-45) the conservatives successfully rolled back many of the relief efforts on the grounds they were no longer needed since full employment was achieved. The "reforms" that regulated the economy were mostly dropped in the deregulation era (1974-87), except for oversight of Wall Street by the SEC, which conservatives approved because it increased investor confidence.

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    1. Stick to the question. Only two programs and how they satisfied the three R's!!!

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  3. World trade and Finance caused the great depression because of the stock market. Using the stock market to make money was a good idea at first. Until, the stock market crashed. The stock market crashed due to people buying stock on credit and trying to pullout there bid. With the stock market crash it left the people poor.

    Income Distribution was another cause to the Great Depression. There was no Middle Class during this time period. There were a few rich. But, mostly everyone was poor. The people that were already poor before we're not affected because they were already living in the poverty from the beginning.

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  4. Farming Problems: The Great Depression changed the lives of people who lived and farmed on the Great Plains and in turn, changed America. The government programs that helped them to live through the 1930's changed the future of agriculture forever. Weather touched every part of life in the "Dirty 30's": dust, insects, summer heat and winter cold. York County farm families didn't have heat, light or indoor bathrooms like people who lived in town. Many farm families raised most of their own food – eggs and chickens, milk and beef from their own cows, and vegetables from their gardens.



    World Trade and Finances: Though the U.S. economy had gone into depression six months earlier, the Great Depression may be said to have begun with a catastrophic collapse of stock-market prices on the New York Stock Exchange in October 1929. During the next three years stock prices in the United States continued to fall, until by late 1932 they had dropped to only about 20 percent of their value in 1929. Besides ruining many thousands of individual investors, this precipitous decline in the value of assets greatly strained banks and other financial institutions, particularly those holding stocks in their portfolios. Many banks were consequently forced into insolvency; by 1933, 11,000 of the United States' 25,000 banks had failed. The failure of so many banks, combined with a general and nationwide loss of confidence in the economy, led to much-reduced levels of spending and demand and hence of production, thus aggravating the downward spiral. The result was drastically falling output and drastically rising unemployment; by 1932, U.S. manufacturing output had fallen to 54 percent of its 1929 level, and unemployment had risen to between 12 and 15 million workers, or 25-30 percent of the work force.

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  5. `1.Compare and contrast Herbert Hoover's economic policies with those of Franklin D. Roosevelt

    Herbert Hoover's policies tended to be more conservative and less focused on government programs. Franklin D. Roosevelt who wrote the New Deal, focused much of his economic policy on various government programs in an effort to get people back to work. Herbert felt like it wasn't the government job to help the poor.He was all about hands off government. While Franklin was more hands-on.

    Hoover blamed foreign countries for the Great Depression. Franklin felt as the Great Depression had nothing to do with the background and orgin of things. Franklin was all into helping and getting involved, which was his purpose of coming up with the New Deal. Hoover, who developed the fascist theme, said that the National Industry Recovery Act was too closely linked to the fascism. The people believed in Franklin's Deal. The three R’s reform of American economc institutions,relief for people of our work, recovery for business and economy as a country.

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  6. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression:
    Farm Problems
    Income Distribution
    World Trade and Finance

    The roots of the depression on the farms began when low commodity prices led many farmers to borrow money to fill the voids. With the Depression, bankers became fearful of repayment. The people began to demand that their loans be repaid, but many farmers could not repay back to the banks due to their crops being worth so little. As cities trimmed back meat purchase prices. The markets for slaughtered pigs and cattle dropped to the point where a farmer got less money for livestock than it cost to ship the livestock to the market.

    Poor distribution of income meant there was a big gap between the rich and poor. This was due to many people having to rely on credit during those times.When people spent on a credit based system the factories weren't getting payed. When the companies lost money jobs were being lost. This meant that the rich got most of the money and the money won't flow that well in the economy due to that small percentage owning majority of the money.




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  7. A reason for the great depression is farming failures.Many American farmers were already having a hard time before the Depression, mostly because they were producing too much and farm product prices were too low. Things were so bad in some areas that farmers burned corn for fuel rather than sell it. Then one of the worst droughts in recorded history hit the Great Plains. The Midwest became known as the "Dust Bowl." Dry winds picked up tons of topsoil and blew it across the prairies, creating huge, suffocating clouds of dirt that buried towns and turned farms into abandoned deserts.

    Another reason for the Great Depression is bank failures. Many small banks, particularly in rural areas, had overextended credit to farmers who, for the most part, had not shared in the prosperity of the 1920s and often could not repay the loans. Big banks, meanwhile, had foolishly made huge loans to foreign countries. Why? So the foreign countries could repay their earlier debts from World War I. When times got tough and the U.S. banks stopped lending, European nations simply defaulted on their outstanding loans. The result of all this was that many banks went bankrupt. Others were forced out of business when depositors panicked and withdrew their money. The closings and panics almost completely shut down the country's banking system.

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    1. Good writing and information! Addressed the question!

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  8. Question #3-->
    Analyze the role of TWO of the following in explaining the causes of the Great Depression:
    -Farm Problems -- Income Distribution -- World Trade and Finane-

    The main causes of the Great Depression was the world trade and finance and the farm problems. The world trade and finance caused the Great Depression because the stock market crashed at a horrible time. The stock market was a huge part of the economic game. The stock market crashes due to the fact of people buying stock off of credit. When they were not paying the credit off the stock market fell. They were forced to pay up on stocks that were no longer worth anything. Many more had borrowed money from banks to buy stock, and when the stock market went belly-up, they couldn't repay their loans and the banks were left holding the empty bag.

    The farm problems were another thing that caused the Great Depression.Many American farmers were already having a hard time before the Depression, mostly because they were producing too much and farm product prices were too low. Things were so bad in some areas that farmers burned corn for fuel rather than sell it. Then one of the worst droughts in recorded history hit the Great Plains. The Midwest became known as the "Dust Bowl." Dry winds picked up tons of topsoil and blew it across the prairies, creating huge, suffocating clouds of dirt that buried towns and turned farms into abandoned deserts.

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  9. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression:
    Farm Problems
    Income Distribution
    World Trade and Finance

    During the new deal,farmers went up against some very tough times.While most the Americans loved relativity prosperity in the 1920s'.As far as the great depression American farmers truly began right after WWI.

    Another major cause of the great Depression was Income Distribution.In economics,income distribution will and always be a major concern of economic theory and economic policies.In the 1920s' more people were investing in the stock market,between May,1928 and the month of September 1929,the average prices if stock had risen 40 percent.

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  10. Question #1compare and contrast of Herbert Hoovers economic policies with those of Franklin D. Roosevelt.

    The time during Herbert Hoovers presidency, was a time of great depression.
    Herbert Hoover delayed taking action to revitalize the economy, and allowed the Great Depression to become the greatest economic crisis in the country's history. FDR took immediate action through the New Deal, which did not solve the Depression, but at least it put people back to work and set the country on the path to getting out of the Depression. Herbert Hoover and FDR were very different. Hoover felt that it wasn't the government's obligation to help the poor. However, FDR was all about getting involved and helping (which led to his creation of The New Deal). Hoover was all about a hands-off government where FDR was hands on. Hoover blamed the economic slum on foreign countries where FDR felt the origin of the Great depression had no relevance. Hoover's policies were conservative and were made too late in order to be effective. However, the policies that were taken by FDR were implemented at reasonable times, hence were effective. Moreover, the institutions set up by FDR were much better in organization and in resolving important issues such as bank problems an unemployment. Both presidents, however, are closely related, they both were aiming to help get rid of the depression. Both were successful politicians, and both ran office during the depression.

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  11. Question 2

    Farm Problems
    Many American farmers were already having a hard time before the Depression, mostly because they were producing too much and farm product prices were too low. One of the worst droughts came and hit Great Plains. The Dust Bowl was dry; winds picked up tons of topsoil and blew it across the prairies. Droughts of the era and dust storms destroyed crops and stripped topsoil. Farmers got less money for their livestock than it cost to ship the livestock to market.

    World Trade and Finance
    The U.S. stock market crash of 1929, an economic downturn in Germany, and financial problems in France and Great Britain all coincided to cause a global financial crisis. Dedication to the gold standard in each of these nations and Japan, which only managed to return to it in 1930, made the problem worse and hastened the slide into what is now known as the Great Depression.

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  12. Hoover's policies were conservative and were made to late in order to be effective. Although, the policies that were taken by FDR were placed at reasonable times.the institutions set up by FDR were much better in organization and in resolving important issues such as bank problems and unemployment.Franklin Roosevelt decided to take a dramatically different approach. In his campaign for president in 1932, Roosevelt offered promises to improve the economy.it became clear that his new deal programs were to serve three R’s: relief for people of our work, recovery for business and the economy as a whole, and reform of American economic institutions.

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  13. Question #2

    Farming problems caused the Great Depression because of dept. Much of the roaring 20s was a cycle of dept for farmers. When the stock-market crashed the farmers prices were even more in a downward cycle.The dryness and the heat destroyed the crops, and farmers were left with no money to buy food or make land payments. Farmers had to leave their homes and land because the banks had now owned them.
    Another cause of the Great Depression was poor income distribution. People were investing into the stock-market, after a while the stock-market crashed. By that happening tons of people were left below poverty. Many people begn to buy things that they could not afford on credit such as, stocks, household items and more. By them doing that it left millions in dept. There was a big drop in consumer spending, which ment people could not repay their dept. Dept led to restrictions on loads, so that caused bankruptcies. Stock value dropped, and stockholders were left broke. Banks and factories shut down and millions were left broke and jobless.

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  14. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression:
    Farm Problems
    Income Distribution
    World Trade and Finance

    During the Great Depression, there were a lot problems but the biggest one was the farming problem. During that time the farmers were faced with tough times. The Great Depression began after World War I. Most of the Roaring 20’s were a continual cycle of debt for the American farmers, due to the stemming from falling farm prices and the need to purchase expensive machinery. The stock market crashed in 1929, which were sending prices in an even more downward cycle. Many American farmers wondered if their hardscrabble live would ever improve.

    The New Deal was aimed to help farmers attempt to raise farm prices to a level equitable to the years of 1909-1914, by President Franklin D. Roosevelt. The Agricultural Adjustment Administration (AAA) was created as one of the Methods to drive up the prices of their crops and livestock would increase. The AAA identified seven Basic Farm Product such as: wheat, cotton, corn, tobacco, rice, hogs, and milk. The farmers who produced those goods, would be paid by the AAA to reduce the amount of acres in cultivation or the amount of livestock raised.

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  15. 3. Select TWO New Deal agencies or commissions and assess how well each satisfied the three R's of relief, recovery, and reform.

    The Agricultural Adjustment Act was a United States federal law of the New Deal era which restricted agricultural production by paying farmers subsidies not to plant on part of their land and to kill off excess livestock. Its purpose was to reduce crop surplus and therefore effectively raise the value of crops. The money for these subsidies was generated through an exclusive tax on companies which processed farm products. The Act created a new agency, the Agricultural Adjustment Administration, to oversee the distribution of the subsidies.[1] The Agriculture Marketing Act, which established the Federal Farm Board in 1929, was seen as a strong precursor to this act.


    The CWA was established by the New Deal during the Great Depression to rapidly create manual labor jobs for millions of unemployed workers. The jobs were merely temporary, for the duration of the hard winter. President Franklin D. Roosevelt unveiled the CWA on November 8, 1933 and put Harry L. Hopkins in charge of the short-term agency. Roosevelt was convinced that jobs were much better for everyone than cash handouts.

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    1. You left the number 1 in paragraph one to let me know it was cut and paste. Thanks John My faith in you has decreased!!!!!

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  17. #1 Compare and contrast Herbert Hoover's economic policies with those of Franklin D. Roosevelt.


    At the time of the crash, food prices in America were very low. This was hurting the profits of farmers and the country’s GNP. To combat the low prices, Hoover established a Federal Farm Board. This encouraged farmers to produce less wheat and cotton in order to drive up prices. When this didn’t work, the Farm Board started the Grain Stabilization Corporation, a program that began buying up the surpluses of American agriculture. The Bureaucrats hoped that this would create a world wide grain shortage, leaving foreign markets in need of buying American grain. Instead, the world markets created their own solutions, and Canada and Argentina took America’s place in global grain exports. Even after Hoover’s zealous intervention into the grain industry, prices still did not rise, and his initiatives failed.

    FDR’s policies were to the left of even Hoover’s. He established the National Recovery Administration. The bureaucracy created legal cartels that were forced to establish minimum prices and higher wages! This meant that there was a lack of competition in the economy, and prices remained high. This, along with the prolonged unemployment due to artificially high wages, meant even more struggles for American citizens. In addition to these asinine economic interventions, FDR built on the already failed agricultural policies of Herbert Hoover. His American Agriculture Administration slaughtered six million pigs.In 1936, James E. Boyle of Cornell University argued that the AAA was responsible for the joblessness of at least two million Americans, mainly farmhands and sharecroppers.

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  18. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression: Farming problems,Income Distribution

    In 1920 the census showed that for the first time in history more Americans lived in urban centers than on farms. The Great Depression, however, sparked an exodus of farmers to the city, irreversibly transforming the United States from an agricultural to an industrial society. On the farm the Depression was an unalloyed catastrophe made worse by drought. It drove millions to the city. Hundreds of thousands of midwesterners made the trek to California in search of agricultural work, ultimately ending up in the defense factories of World War II. The farm crisis was thus at the center of an enormous demographic shift in American life, one that permanently...

    In the 1920’s more people invested in the stock market than ever before. Between May 1928 and September 1929, the average prices of stocks rose 40 percent. Stock prices rose so quickly that at the end of the decade, some people became rich overnight by buying and selling stocks. People could buy stocks for only a 10% down payment. Between 1920 and 1929 the number of share owners rose from 4 million to 20 million. With artificially low interest rates and a booming economy, people and companies invested in over-priced stocks. During 1928 and 1929, the prices of many stocks went up faster than the value of the companies the stocks represented.Buying on credit was huge problem in the 1920’s. Since the 20’s was a period of great economic boom, not many people took the future into consideration. Many people bought expensive luxury items using money they did not have. Installment buying allowed people to make a monthly, weekly, or yearly payment on an item that they wanted or needed. Buying on credit and installment buying left millions of people in debt. Installment buying allowed lenders to repossess an item if the borrower missed just one payment. People may have stopped making new purchases to reduce the risk of losing things they already had bought on credit. There was a big drop in consumer spending, which lowered prices, which meant that farmers, businesses, and nations could not repay their debts. Rising debt led to restrictions on new loans, which led to scarce credit, less borrowing, lower prices, more bankruptcies, and so on. The spiral downward of trade, investment, people’s confidence, and the economy began. Many economists agree that the Great Depression began with the Stock Market Crash in October of 1929. Stock values plummeted, stockholders were wiped out, banks and factories shut down, and millions of Americans were left jobless and penniless. Although the Stock Market Crash in October of 1929 certainly began the Great Depression, there were many events that led to the gradual decline of the economy. During the prosperous 1920’s, bank failures, together with low incomes among farmers and factory workers, helped set the stage for the depression. Uneven distribution of income among workers also contributed to the slump.The 1920’s were a prosperous period for business, but most farmers did not prosper. Prices of farm product fell about 40 % in 1920 and 1921, and they remained low through the 1920’s. Some farmers lost so much money they could not pay the mortgage on their farm and were forced to rent their land or move. Bank failures in the agricultural areas became more frequent. About 550 banks went out of business from July 1, 1928 to June 30, 1929, the period of greatest prosperity in the 1920’s. Workers in the coal, railroad, and textile industry did not share in the prosperity either. Industrial production increased 50% , but workers could not buy goods as fast as the industry produced them because their wages were low. Workers reduced their spending to hold down their debts, the amount of money in circulation decreased, and business became even worse. The Stock Market Crash was an immediate cause of the Great Depression, but there were many long-term causes that gradually weakened the economy.

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  19. Question 1

    Herbert Hoover basically was like this toward the great depression, we will be okay. See he had already been in the elite status of the united states. He was really like this he didnt care about that the situation because he had already came from money and looking out for his on well being in the white house .

    Then came Franklin Roosevelt ehich was all about the people. In his early years he started programs that could help people get on there feet and stop the depression. They were the three r's relief,recovery and reform.

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  20. Select TWO New Deal agencies or commissions and assess how well each satisfied the three R's of relief, recovery, and reform.

    The two new deal agencies and commissions were AAA (Agriculture Adjustment Act)and CCC (Civilian Conservation Corps. The reason being for AAA was because it relieved farmers stress. Checks were issued out to farmers who crops weren't able to produce. Farmers were one of the main producers for food. The checks were definitely a recovery and a relief.
    The CCC was similar to a job corp. It provided government jobs. Meaning jobs were created for unemployed men from the ages of 18-25. This was actually reforming the world. Because most of the government jobs were dealing with doing things for the community.

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    1. Address the question how did the two programs satisfy the 3 R's

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  21. Question #3
    The Wanger Act started in 1935-1938. This act helped promotelabor unions. The act also diminished the conflics cause by some problems. The National Labor Relations Borad was an organizations that helped protect the workers. This act let people created unions to protect them abd their rights
    The National Housing Act of 1934 helped people with there housing problems. The Federal Housing Administration is apart of this act. The bank or other lenders gave loans to help with home building and buying. The people that received these loans had to pay a mortgage for their home. This also helped improve housing conditions and standards.

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  22. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression.
    Farming - There were farming problems way before the Great Depression. The prices on food were too low as they were producing too much food. Droughts such as the "Dust Bowl" really hit hard which made it impossible to grow anything because crops and soil destroyed. Some areas were so bad that farmers had to burn their corn for fuel.

    Income Distribution - Since their was a poor amount of money coming in many people depended on credit for everything. People invested in stock markets but weren't able to pay money that they owed plus more. Since there was only a rich and poor and no middle class, the poor couldn't contribute any money to anything and the rich just fell into poverty. Companies started to lose money which lead to people losing their jobs.

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  23. 2. Analyze the role of TWO of the following in explaining the causes of the Great Depression: Farm Problems, Income Distribution, World Trade and Finance

    The Great Depression was a severe worldwide economic drop after World war II. Farmers faced tough times during the 1920s. The Great Depression for the American farmers really began after World War I. The roaring '20s was a cycle of debt for the American farmer, stemming from falling farm prices and the need to purchase expensive machinery. Cotton, wheat, and corn prices doubled in three years. Tenant farmers and sharecroppers did not receive government aid. Soon the AAA was canceled by the supreme court orders in 1936.

    The Great Depression began in the United States but spreaded throughout the world quickly. That caused a worldwide economic problem between Europe and North America. The Great Depression had important consequences in the political point of view. Roosevelt introduced a number of major changes in the structure of the American economy, using increased government regulation and massive public-works projects to promote a recovery. Despite this active intervention, mass unemployment and economic stagnation continued, though on a somewhat reduced scale, with about 15 percent of the work force still unemployed in 1939. The depression ended completely soon after the United States' entry into World War II in 1941.

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  24. Analyze the role of TWO of the following in explaining the causes of the Great Depression:
    Farm Problems
    Income Distribution

    Farmers in the great depression at the time struggled to with having low prices in the 1920's. So when the stock market crashed during the period 1929 it just started laying off workers. Also some businesses had even close after a while. The families of workers didn't have money to buy things they needed. They had to learn to deal without clothes too.

    Then the income distrubtion was bad because the stocks had crashed. And the money wasn't there jobs were laying people off from work. Then people couldn't get the farms done because some of the businesses couldn't pay them. Some of the families started to go poor cause they couldn't buy the things they needed. Some just couldn't support there life style either.

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