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banks loaned out large sums for stock speculation and consumer credit. The cycle of lost savings, fewer loans, and shrinking spending deepened the Depression. -
31st President of the U.S. (1929–1933).
Republican, former mining engineer and humanitarian
Took office in March 1929 -
The worst day—over 16 million shares were traded. Prices collapsed, wiping out fortunes in hours.
Investors panicked and sold millions of shares. Banks and big companies tried to buy stocks to stabilize prices, but confidence was shaken. -
Families unable to pay rent built shacks out of scrap material in makeshift towns.
Nicknamed after President Hoover (blamed for not solving the crisis) (or called shantytowns). -
Severe drought + over farming destroyed soil in the Great Plains. -
Meant to protect U.S. industries. Instead, they reduced international trade, as other nations retaliated with their own tariffs. -
Highlighted racial injustice when nine Black teenagers were falsely accused of raping two white women in Alabama.
Their trials showed how systemic racism limited minority rights in the justice system. -
When World War I veterans marched on Washington demanding early bonus payments, Hoover refused and had the military forcibly remove them, which hurt his popularity. -
A group of African American advisors) gave minorities a stronger voice in government. -
Elected 1933 - 1945
He launched the New Deal, a series of government programs and reforms designed to provide relief, recovery, and reform: Relief: Immediate aid for the unemployed and poor (Civilian Conservation Corps, Works Progress Administration). Recovery: Programs to rebuild the economy (Agricultural Adjustment Act, National Industrial Recovery Act). Reform: Long-term changes to prevent future crises (Social Security Act, banking reforms like the FDIC). -
Franklin D. Roosevelt declared a “bank holiday” to stop the panic.
The government inspected banks and only reopened those that were financially sound. -
Used radio broadcasts to speak directly to Americans, restoring confidence in government and banks. -
The FDIC (Federal Deposit Insurance Corporation) was created to insure deposits, so people would never again lose their savings if a bank failed. -
Act of 1934 provided mortgage assistance and improved housing conditions, helping families avoid foreclosure. -
ended forced assimilation, encouraged tribal self-government, and restored some tribal lands. -
It gave pensions to the elderly, unemployment insurance, and aid to the disabled.