The 1930’s was ruled by the crash of the stock market which led to the great depression.
The great stock market crash of October 1929 brought the economic prosperity of the 1920s to a symbolic end. For the next ten years, the United States was mired in a deep economic depression. By 1933, unemployment had soared to 25 percent, up from just 3.2 percent in 1929. Industrial production declined by 50 percent. In 1929 before the crash, investment in the U.S. economy totaled $16 billion. By 1933, the figure had fallen to $340 million--a decrease of 98 percent. (Digital History)
I can see the connection of our current environment and the 1930’s by our housing crisis and the high cost of living vs lack of means. Digital history reads, “For many groups of Americans, the prosperity of the 1920s was a cruel illusion. Even during the most prosperous years of the Roaring Twenties, most families lived below what contemporaries defined as the poverty line. In 1929, economists considered $2,500 the income necessary to support a family. In that year, more than 60 percent of the nation's families earned less than $2,000 a year--the income necessary for basic necessities--and over 40 percent earned less than $1,500 annually. Although labor productivity soared during the 1920s because of electrification and more efficient management, wages stagnated or fell in mining, transportation, and manufacturing. Hourly wages in coal mines sagged from 84.5 cents in 1923 to just 62.5 cents in 1929.”
This reminds me of how in many states including Massachusetts the cost of living is higher than what most citizens make and can afford. This is a huge problem that was also something that was happening during the great depression.
Also a lack of resources to help people. Digital history reads, “Unlike most of Western Europe, the United States had no federal system of unemployment insurance. The relief burden fell on state and municipal governments working in cooperation with private charities, such as the Red Cross and the Community Chest. Created to handle temporary emergencies, these groups lacked the resources to alleviate the massive suffering created by the Great Depression. Poor Southerners, whose states had virtually no relief funds, were particularly hard hit.” This reminds me of how many homeless shelters that America has. They run out of space for people, there are only limited stays, waiting lists, lack of support etc. It is hard to receive help when you need it. America is so overwhelmed by homeless people that a lot of people are put in these bad situations due to not having the means to survive.
Franklin D Rosevelt promised a New Deal to the American people. The New Deal helped with things like economic structures and introducing the idea of government assistance to people. Yet, its benefits were unevenly distributed. “Instead of using New Deal programs to promote civil rights, the administration consistently bowed to discrimination. In order to pass major New Deal legislation, Roosevelt needed the support of southern Democrats. Time and time again, he backed away from equal rights to avoid antagonizing southern whites; although, his wife, Eleanor, did take a public stand in support of civil rights. Most New Deal programs discriminated against blacks. The NRA, for example, not only offered whites the first crack at jobs, but authorized separate and lower pay scales for blacks. The Federal Housing Authority (FHA) refused to guarantee mortgages for blacks who tried to buy in white neighborhoods, and the CCC maintained segregated camps. Furthermore, the Social Security Act excluded those job categories blacks traditionally filled.” (Digital History)
Mexicans were also not protected in the New Deal. Federal efforts were accompanied by city and county pressure to repatriate destitute Mexican American families. In February 1931, Los Angeles police surrounded and raided a downtown park and detained some 400 adults and children. The threat of unemployment, deportation, and loss of relief payments led tens of thousands of people to leave the United States. (Digital History)
This also holds a connection to our current environment and our immigration laws.
The New Deal did not advocate for Women, Disabled people, African Americans or Mexicans as much as they did for white men. Overall the New Deal did turn over a new leaf. “The New Deal did not end the Depression. Nor did it significantly redistribute income. It did, however, provide Americans with economic security that they had never known before. The New Deal legacies include unemployment insurance, old age insurance, and insured bank deposits. The Wagner Act reduced violence in labor relations. The Securities and Exchange Commission protected stock market investments of millions of small investors. The Federal Housing Administration and Fannie Mae enabled a majority of Americans to become homeowners. The New Deal's greatest legacy was a shift in government philosophy. As a result of the New Deal, Americans came to believe that the federal government has a responsibility to ensure the health of the nation's economy and the welfare of its citizens.” (Digital History)
“Digital History.” Www.digitalhistory.uh.edu, www.digitalhistory.uh.edu/era.cfm?eraID=14&smtid=2.
The great stock market crash of October 1929 brought the economic prosperity of the 1920s to a symbolic end. For the next ten years, the United States was mired in a deep economic depression. By 1933, unemployment had soared to 25 percent, up from just 3.2 percent in 1929. Industrial production declined by 50 percent. In 1929 before the crash, investment in the U.S. economy totaled $16 billion. By 1933, the figure had fallen to $340 million--a decrease of 98 percent. (Digital History)
I can see the connection of our current environment and the 1930’s by our housing crisis and the high cost of living vs lack of means. Digital history reads, “For many groups of Americans, the prosperity of the 1920s was a cruel illusion. Even during the most prosperous years of the Roaring Twenties, most families lived below what contemporaries defined as the poverty line. In 1929, economists considered $2,500 the income necessary to support a family. In that year, more than 60 percent of the nation's families earned less than $2,000 a year--the income necessary for basic necessities--and over 40 percent earned less than $1,500 annually. Although labor productivity soared during the 1920s because of electrification and more efficient management, wages stagnated or fell in mining, transportation, and manufacturing. Hourly wages in coal mines sagged from 84.5 cents in 1923 to just 62.5 cents in 1929.”
This reminds me of how in many states including Massachusetts the cost of living is higher than what most citizens make and can afford. This is a huge problem that was also something that was happening during the great depression.
Also a lack of resources to help people. Digital history reads, “Unlike most of Western Europe, the United States had no federal system of unemployment insurance. The relief burden fell on state and municipal governments working in cooperation with private charities, such as the Red Cross and the Community Chest. Created to handle temporary emergencies, these groups lacked the resources to alleviate the massive suffering created by the Great Depression. Poor Southerners, whose states had virtually no relief funds, were particularly hard hit.” This reminds me of how many homeless shelters that America has. They run out of space for people, there are only limited stays, waiting lists, lack of support etc. It is hard to receive help when you need it. America is so overwhelmed by homeless people that a lot of people are put in these bad situations due to not having the means to survive.
Franklin D Rosevelt promised a New Deal to the American people. The New Deal helped with things like economic structures and introducing the idea of government assistance to people. Yet, its benefits were unevenly distributed. “Instead of using New Deal programs to promote civil rights, the administration consistently bowed to discrimination. In order to pass major New Deal legislation, Roosevelt needed the support of southern Democrats. Time and time again, he backed away from equal rights to avoid antagonizing southern whites; although, his wife, Eleanor, did take a public stand in support of civil rights. Most New Deal programs discriminated against blacks. The NRA, for example, not only offered whites the first crack at jobs, but authorized separate and lower pay scales for blacks. The Federal Housing Authority (FHA) refused to guarantee mortgages for blacks who tried to buy in white neighborhoods, and the CCC maintained segregated camps. Furthermore, the Social Security Act excluded those job categories blacks traditionally filled.” (Digital History)
Mexicans were also not protected in the New Deal. Federal efforts were accompanied by city and county pressure to repatriate destitute Mexican American families. In February 1931, Los Angeles police surrounded and raided a downtown park and detained some 400 adults and children. The threat of unemployment, deportation, and loss of relief payments led tens of thousands of people to leave the United States. (Digital History)
This also holds a connection to our current environment and our immigration laws.
The New Deal did not advocate for Women, Disabled people, African Americans or Mexicans as much as they did for white men. Overall the New Deal did turn over a new leaf. “The New Deal did not end the Depression. Nor did it significantly redistribute income. It did, however, provide Americans with economic security that they had never known before. The New Deal legacies include unemployment insurance, old age insurance, and insured bank deposits. The Wagner Act reduced violence in labor relations. The Securities and Exchange Commission protected stock market investments of millions of small investors. The Federal Housing Administration and Fannie Mae enabled a majority of Americans to become homeowners. The New Deal's greatest legacy was a shift in government philosophy. As a result of the New Deal, Americans came to believe that the federal government has a responsibility to ensure the health of the nation's economy and the welfare of its citizens.” (Digital History)
“Digital History.” Www.digitalhistory.uh.edu, www.digitalhistory.uh.edu/era.cfm?eraID=14&smtid=2.
PBS. “FDR and the New Deal | Slavery by Another Name Bento | PBS.” FDR and the New Deal | Slavery by Another Name Bento | PBS, 2017, www.pbs.org/tpt/slavery-by-another-name/themes/fdr/.