New Deal Assignment 1

Uncover the roots of the Great Depression: Hoover's perspective, the 1929 crash, and government economic roles.

What caused the Great Depression? Future President Hoover on a campaign speech in 1928:"I have witnessed the many failures of government in business. I have witnessed the lack of progress, the lowered standards of living, and the depressed spirits of people working under this system.Our country has become the land of opportunity to those born without inheritance, not because of our nation's wealth of resources, but because of the freedoms of business.By decentralizing our government, our American experiment has created the highest standard of living in the world. We are closer than ever to eliminating poverty." According to Hoover, what is the best role for government in business? Should they control business or leave it alone? What do you think should be a government's role in business? Do you agree or disagree with Hoover? The Stock Market Crash of 1929 (October 1929)The second hurricane in four days hit the stock market yesterday. It was probably the most disastrous collapse in the history of the US stock exchange.It was not so much the little trader who was struck by yesterday's cyclone, but the rich men. It was the big man whose stocks were destroyed yesterday. Why do you stock market crashes affect rich people and poor people differently? The image above details the amount of money loaned out to banks during this time. Based on the graph, what do you notice about the money loaned out in the 1930s vs the 1920s? Which amount is higher? Why do you think that is?