Sunday, March 28, 2010

Chapter 25 Responses

1. It was not just one cause for the Great Depression but numerous causes which intensified the depression and made it much harder to recovery and repair from the depression. The decisions made by authorities backfired and sunk America deeper into the depression. During the 1920, even if they did not have enough money to buy a stock, many investors bought on 10% margin. The investors only put in 10% of the price of the stock and borrowed the rest from banks and brokers. During the 1920 the stock market was doing so well that investors expected to pay of the loans by selling their shares after the prices of gone up, but their plan failed when the Stock Market crashed. Creditor demanded for the loans to be payed but the investors could not which left them in serious debt. The situation of the debtors grew even worse because of the decisions of Federal Reserve Board and high Tariffs. Federal Reserve Board decreased the amount of money in circulation and increased interest rates. This change made it much harder for debtors to pay creditors thus plunging the economy deeper into depression. To add to the country's trouble's the Tariff Act of 1930 increased the tariff on agricultural goods and manufactured good to 40 percent. This high Tariff was supposed to eliminate competition and improve the American Industry but Foreign government responded by increasing their tariff, keeping out American goods. Overall the boom of the 1920 and bad decisions by the leaders of America led to the great Depression.

2. Herbert Hoover believed that to achieve the American Dream one has to work for it which is why, during the Great Depression, Hoover was against the Federal government providing relief to unemployed and homeless. Also, Hoover's method in helping the Depression didn't include that many Federal Agencies. The only Federal agencies mainly set up during Hoover's presidency are the Reconstruction Finance Corporation and the Home Loan Board. On the contrary, FDR established many agencies to help the depression. Hoover felt that if the federal government provided direct relief to the unemployed and homeless then they become lazy and dependent on federal money instead of working for the money and as result, they would the capacity for citizenship. Even though Hoover was against direct relief to the public, he was not against providing government assistance to failing banks and businesses. Roosevelt, on the other hand, created programs such as Federal Emergency Relief Administration, Civilian Conservation Corps, and the Civil Works administration to provide relief to the poor, provide jobs to young men planting trees to stop erosion or work in small-scale government projects. Hoover's and Roosevelt's views on federal activity could be explained by their background. Hoover worked hard in his studies and in his political career to develop and good reputation in the political world while FDR already had a reputation because of his cousin, Theodore Roosevelt. Before the 1920's, FDR had no political achievement and throughout his life FDR did not distinguish himself neither at school nor at law, like Hoover did.

3. Although there were many supporters of the New Deal, there were also critics of the New Deal programs. Critics pointed out the economic interest of the New Deal programs such as the AAA and the NRA. These critics felt that some programs were ignoring the ordinary people. Critics such as Huey Long, Father Charles Coughlin, and Francis E. Townsend that the New Deal Programs were run by banker and rich businessmen. These critics used the radio to denounce the New Deal programs and gain support for the support for their ideas of improving the economy. These attacks on the New Deal programs worsened the public's discontent with the programs and encourage rebellions. Workers staged strikes demanding that employers start following the provisions of the NRA codes, recognize their union and provide an increase in wages.

4. While the First New Deal dealt with providing relief to both the public and industries and banks, the Second New Deal mainly focused on limiting the power of the rich and increase security and welfare for the ordinary man. The First New Deal created programs to bail banks out, provide relief and job for the poor and unemployed and improve the environment. Also, FDR's theory of improving the economy over all changed. In the First New Deal, FDR limited the production but in the Second New Deal FDR's tried to increase consumer spending, by supporting unions, providing more social welfare and creating public works projects. The main of the Second New deal was to direct more money to ordinary Americans than to the needs of big businesses. One of the big pieces of legislation that provided financial security was the Social Security Act. This Act required states to set up welfare funds from which money would be distributed to the elderly poor, the unemployed, single mothers, and the disabled. The FERA from the First New Deal also provide relief but it more of a temporary federal organization, which did not always provide relief to women. The Social Security Act was more of a permanent welfare system and was a pension program. Another important program of the Second New Deal was NLRA like the NRA supported the worker's choose of joining a union and also required employer to recognize and bargain with the unions,but unlike the NRA, the NLRA actually succeeded.

5. During the Depression did not gain anymore independence than they already had. People still believed that a woman's proper place was at home. This view that women should stay inferior to male's intensified during Depression. During the Depression, men could not fulfill their responsibility in providing economic security for their families. Male employees who tended to work in blue collar industries had a higher unemployment rate than women who worked in white collar jobs. Therefore, during the depression women were mostly the breadwinners of the house.

6. Most minority groups met the requirements to receive the relief provided by the New Deal but the minorities which benefited the most are the Eastern and Southern European immigrants. Eastern and Southern European immigrants made up a big part of the urban population and the working-class. Therefore they were able to receive welfare, and unemployment relief provided by the New Deal programs. African Americans who lived in the northern cities and were part of union benefited from the New Deal programs, but most African Americans lived in the rural south as tenant farmers or sharecroppers under white Americans. In the rural south African Americans, were excluded from most New Deal programs or received unfair treatment. In addition, Roosevelt made no effort to decrease the racial discrimination. Roosevelt feared that if he supported African American minority than he would lose the support of the white south. Mexican American benefited the least from the New Deal programs. A great number of Mexican Americans were deported during the Depression. Americans believed that by deporting Mexican Americans, jobs would be available for white Americans. If Mexicans were unable to show any form of documentation of their citizenship than they were deported even if they lived in the United States for many generations. Even though the New Deal Programs helped some minority groups, the programs did not exclude racial discrimination.

2 comments:

  1. Grade 28/30 Minor content and grammatical errors

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  2. Missing all of the primary source questions for this post.

    Grade 0/12

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