How Did The Great Depression Affect The Economy
America is known as the land of the free, home of the brave and is deemed as one of the most prosperous countries with a booming economy and mass production of goods. But just as it took decades for America to build up this reputation, there were devastating periods of intense trial and error. During the Great Depression, 40% of Americans were living in poverty due to an unregulated economy. The New Deal soon followed after society had reached its apotheosis of poverty and served as a relief to jump-start the economy. The United States soon entered World War II due to Japan’s attack on Pearl Harbor and went into the Cold War that divided the “free” and “first” world. The side effects of these events grew and continued into post war America; we still feel aftershocks in our society today.
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The inequalities rooted in race, gender and class are seen in poverty as an effect of the stock market crash, the lack of intersectional support from the New Deal, racial divide that formed segregated neighborhoods, endless economic opportunities for men but limited chances for women in the work force.
There was an unprecedented amount of financial growth that was unable to be sustained due to the 1920s, but not everyone in the nation shared in this prosperity; this is a major contributing factor of the Great Depression. Herbert Hoover had an outdated belief on “rugged individualism” that kept him and his administration from intervening and regulating the government. The stock market was a big part of society, but “Black Tuesday” was the beginning of this recurring and prolonged cycle of booms and busts. There were multiple “black” days during this time, but October 22, 1929, “Black Tuesday” was the day millions of middle and working class people lost their life savings; this resulted in credit drying up, workers being laid off and “Hoovervilles” began to form (Globalyceum, “The Great Depression”). The unemployment rate in 1929 went from 3% to 25% all within a span of four years. The leading
telephone company “Western Electric” laid off 85% of its workers because there was a decline in demand for the service. This further defines the poverty line and resulted in many misfortunes such as families not being able to eat and have a home. Bread lines and soup kitchens became a way of human-life and Hoovervilles began to form. It wasn’t until Franklin D. Rooselvelt took office in 1933, the society started to see changes. He put forth a series of programs that are known as the New Deal; FDR was the reason so much progress was made in his first “100 days” of his presidency. He put into action the Public Works Administration which funded construction of desired places and recreation detrimental to local communities; this created jobs. The Federal Emergency Relief Act followed and funded states to provide relief to the unemployed and homeless. The administrations also gave way for the Townsend Act and in turn provided standard services and pensions to the elderly; they referred to themselves as “grass roots” and it was known as the movement of “ordinary people” (lecture, October 4).
America begins to find its footing as they transition into the Cold War and World War II; these wars were a tragedy, but an economic opportunity. America was desperate for workers of all ethnic backgrounds, so women were being employed and men of color began fighting for their country. It was not until the war ended that the decline of women in the workforce increased and the suspicion of infiltrating immigrants became more apparent; the war had everyone on edge. By 1960, women in the workforce went from 40% to 9% and the Japanese Internment Camps were created (Globalyceum,WWII and the Cold War). America had a mixed legacy because the temporarily issued law of the Fair Employment Act had to do with circumstance and not morality. After the post-war layoff, Unions began to grow exponentially and forced the government to acknowledge the issue; this is what propelled the Wagner Act. At this time, the U.S. saw Japanese Americans taking it upon themselves to fight for their equality and freedom from these degrading camps. America’s paranoia and nativistic racism did not allow the majority of them to be heard, but the camps were finally shut down in 1944 due to FDR’s issue of Executive Order 9066 (lecture, October 18).
When the war ended, the population grew and veterans were given benefits, but not everyone equally prospered because of the color of their skin. In 1944, the Servicemen’s Readjustment Act was issued and it served to elevate the intellectual caliber of the U.S.’ workforce. June 25, 1941, Executive Order 8802 was issued by FDR barring discrimination in government financed defense work and temporarily established the Fair Employment Practices Committee to assure their compliance. They built upon the New Deal’s Federal Housing Administration and provided public insurance to private lenders; this increased home ownership rates by 450% (Globalyceum, “Post-War America”). The benefits of this bill were highly racialized and it only serviced the caucasian-demographic. The division of opportunity for contrasting races birthed color-coded maps and the infamous installment of redlining; also known as suburbanization. It was a one sided battle of the “Vanilla Suburbs” against the “Chocolate Cities” (lecture, October 23). The national government authorized redlining and said even one or two families would undermine the system both economically and socially. Finally in 1968, the Fair Housing Act allowed African-Americans to move into a home (Race: The Power of an Illusion). By the 1970s, women began their attempt at closing gender gaps in getting an education and work rates that even outstripped African-Americans as a whole. The flux of new jobs from 1950 to 1980 did indeed give women more opportunities, but they were slotted into highly, gender-stratified positions coined “Pink Collar Ghettos.” It became common for women to have jobs being secretaries, phone desk clerks and positions alike. Author Betty Friedan wrote a book to retaliate against the degrading social norm and published The Feminine Mystique; it served to empower women to be aware of their disposition and take the necessary steps to break through the glass ceiling. Finally in 1972, Education Amendments Title IX was issued and prohibited discrimination covering race in federally-assisted education programs to gender (Globalyceum, “Post War America”).
The feminist movement served as a catalyst to the Civil Rights movements that brought students, African-Americans and Chicanos to fight for a common greater-good within their communities and worlds. The first “grass roots” inspired movement was the Civil Rights Act issued in 1964; this law prohibits racial discrimination in government, private or public and also covered discrimination of sex. Then followed the 24th Amendment that bans the poll tax and kept African-Americans from voting. A year later came The Voting Rights Act of 1965 that ended legalized segregation (lecture, November 1). This act would not have been possible without the peaceful protest group and movement known as the Freedom Riders. This group traveled together to the deep south to deliberately, but peacefully, violate segregation laws to activate their equal rights that were being dangled above their heads. They also had prime, Civil Rights leader Martin Luther King Jr.’s admiration and respect while carrying out their dangerous trip. Dipping into the Chicano sphere, young Hispanic men and women demanded educational reform by staging a walkout in the East Los Angeles streets; they were supported and protected by presumed dangerous militant group the Brown Berets (Chicano!) Progressing into the student realm, The Vietnam war had ignited the New Left movement which comprised radicals and activist that retaliated against America’s involvement in the war and the multiple military interventions being executed in Iran and Guatemala.
The inequalities rooted in race, gender and class are seen in poverty as an effect of “Black Tuesday,” the new deal and its lack of intersectional support, racial divide that formed segregated neighborhoods and redlining, and gender stratified jobs between men and women in the work force. American citizens from all walks of life, races and beliefs were able to recognize when the world was most susceptible to change and took the opportunity to participate in the progress of America from the 1950s to the 1970s; because of them we are able to prosper from the fruits of their labor today. History never fails to repeat itself and there’s no doubt that we see recurring social justice issues and gender inequalities in the world around us, but where there is disruption and brutal battles, we also have relentless warriors ready to challenge the ideas and beliefs that need correction. America has a lot to improve on, but weeds have already been removed from the garden of America and the seed of change has already been planted.
The inequalities rooted in race, gender and class are seen in poverty as an effect of the stock market crash, the lack of intersectional support from the New Deal, racial divide that formed segregated neighborhoods, endless economic opportunities for men but limited chances for women in the work force.
There was an unprecedented amount of financial growth that was unable to be sustained due to the 1920s, but not everyone in the nation shared in this prosperity; this is a major contributing factor of the Great Depression. Herbert Hoover had an outdated belief on “rugged individualism” that kept him and his administration from intervening and regulating the government. The stock market was a big part of society, but “Black Tuesday” was the beginning of this recurring and prolonged cycle of booms and busts. There were multiple “black” days during this time, but October 22, 1929, “Black Tuesday” was the day millions of middle and working class people lost their life savings; this resulted in credit drying up, workers being laid off and “Hoovervilles” began to form (Globalyceum, “The Great Depression”). The unemployment rate in 1929 went from 3% to 25% all within a span of four years. The leading
telephone company “Western Electric” laid off 85% of its workers because there was a decline in demand for the service. This further defines the poverty line and resulted in many misfortunes such as families not being able to eat and have a home. Bread lines and soup kitchens became a way of human-life and Hoovervilles began to form. It wasn’t until Franklin D. Rooselvelt took office in 1933, the society started to see changes. He put forth a series of programs that are known as the New Deal; FDR was the reason so much progress was made in his first “100 days” of his presidency. He put into action the Public Works Administration which funded construction of desired places and recreation detrimental to local communities; this created jobs. The Federal Emergency Relief Act followed and funded states to provide relief to the unemployed and homeless. The administrations also gave way for the Townsend Act and in turn provided standard services and pensions to the elderly; they referred to themselves as “grass roots” and it was known as the movement of “ordinary people” (lecture, October 4).
America begins to find its footing as they transition into the Cold War and World War II; these wars were a tragedy, but an economic opportunity. America was desperate for workers of all ethnic backgrounds, so women were being employed and men of color began fighting for their country. It was not until the war ended that the decline of women in the workforce increased and the suspicion of infiltrating immigrants became more apparent; the war had everyone on edge. By 1960, women in the workforce went from 40% to 9% and the Japanese Internment Camps were created (Globalyceum,WWII and the Cold War). America had a mixed legacy because the temporarily issued law of the Fair Employment Act had to do with circumstance and not morality. After the post-war layoff, Unions began to grow exponentially and forced the government to acknowledge the issue; this is what propelled the Wagner Act. At this time, the U.S. saw Japanese Americans taking it upon themselves to fight for their equality and freedom from these degrading camps. America’s paranoia and nativistic racism did not allow the majority of them to be heard, but the camps were finally shut down in 1944 due to FDR’s issue of Executive Order 9066 (lecture, October 18).
When the war ended, the population grew and veterans were given benefits, but not everyone equally prospered because of the color of their skin. In 1944, the Servicemen’s Readjustment Act was issued and it served to elevate the intellectual caliber of the U.S.’ workforce. June 25, 1941, Executive Order 8802 was issued by FDR barring discrimination in government financed defense work and temporarily established the Fair Employment Practices Committee to assure their compliance. They built upon the New Deal’s Federal Housing Administration and provided public insurance to private lenders; this increased home ownership rates by 450% (Globalyceum, “Post-War America”). The benefits of this bill were highly racialized and it only serviced the caucasian-demographic. The division of opportunity for contrasting races birthed color-coded maps and the infamous installment of redlining; also known as suburbanization. It was a one sided battle of the “Vanilla Suburbs” against the “Chocolate Cities” (lecture, October 23). The national government authorized redlining and said even one or two families would undermine the system both economically and socially. Finally in 1968, the Fair Housing Act allowed African-Americans to move into a home (Race: The Power of an Illusion). By the 1970s, women began their attempt at closing gender gaps in getting an education and work rates that even outstripped African-Americans as a whole. The flux of new jobs from 1950 to 1980 did indeed give women more opportunities, but they were slotted into highly, gender-stratified positions coined “Pink Collar Ghettos.” It became common for women to have jobs being secretaries, phone desk clerks and positions alike. Author Betty Friedan wrote a book to retaliate against the degrading social norm and published The Feminine Mystique; it served to empower women to be aware of their disposition and take the necessary steps to break through the glass ceiling. Finally in 1972, Education Amendments Title IX was issued and prohibited discrimination covering race in federally-assisted education programs to gender (Globalyceum, “Post War America”).
The feminist movement served as a catalyst to the Civil Rights movements that brought students, African-Americans and Chicanos to fight for a common greater-good within their communities and worlds. The first “grass roots” inspired movement was the Civil Rights Act issued in 1964; this law prohibits racial discrimination in government, private or public and also covered discrimination of sex. Then followed the 24th Amendment that bans the poll tax and kept African-Americans from voting. A year later came The Voting Rights Act of 1965 that ended legalized segregation (lecture, November 1). This act would not have been possible without the peaceful protest group and movement known as the Freedom Riders. This group traveled together to the deep south to deliberately, but peacefully, violate segregation laws to activate their equal rights that were being dangled above their heads. They also had prime, Civil Rights leader Martin Luther King Jr.’s admiration and respect while carrying out their dangerous trip. Dipping into the Chicano sphere, young Hispanic men and women demanded educational reform by staging a walkout in the East Los Angeles streets; they were supported and protected by presumed dangerous militant group the Brown Berets (Chicano!) Progressing into the student realm, The Vietnam war had ignited the New Left movement which comprised radicals and activist that retaliated against America’s involvement in the war and the multiple military interventions being executed in Iran and Guatemala.
The inequalities rooted in race, gender and class are seen in poverty as an effect of “Black Tuesday,” the new deal and its lack of intersectional support, racial divide that formed segregated neighborhoods and redlining, and gender stratified jobs between men and women in the work force. American citizens from all walks of life, races and beliefs were able to recognize when the world was most susceptible to change and took the opportunity to participate in the progress of America from the 1950s to the 1970s; because of them we are able to prosper from the fruits of their labor today. History never fails to repeat itself and there’s no doubt that we see recurring social justice issues and gender inequalities in the world around us, but where there is disruption and brutal battles, we also have relentless warriors ready to challenge the ideas and beliefs that need correction. America has a lot to improve on, but weeds have already been removed from the garden of America and the seed of change has already been planted.