Question

causes of the great depression
station 3 - notes
a. list 3 effects of the great depression

b. think about georgias economy during this time period. which
economic problems would affect georgia the most? explain.

c. predict the ways in which you think the newly elected president,
franklin d. roosevelt, is going to help the united states fix the
economy & recover from the depression. what do you think he should
do?

© history with mrs. c

Explanation:

Part A:

The Great Depression had widespread impacts. Three key effects include:

1. High Unemployment: Many businesses closed, leading to millions of people losing their jobs. For example, in the US, the unemployment rate reached around 25% at its peak.
2. Bank Failures: People lost their savings as numerous banks collapsed due to panicked withdrawals and bad loans, eroding public trust in the banking system.
3. Poverty and Homelessness: With no income, families struggled to afford basic necessities like food and shelter, leading to a rise in homelessness and reliance on soup kitchens and breadlines.

Part B:

Georgia's economy was heavily reliant on agriculture (especially cotton) and had a growing textile industry. During the Great Depression, agricultural overproduction and falling prices would affect Georgia the most. Georgia's farmers faced overproduction of cotton, which led to a drastic drop in cotton prices (due to global oversupply and reduced demand). This, combined with the boll weevil infestation (which damaged cotton crops) and droughts in some areas, devastated farm incomes. Also, the collapse of the cotton market hurt the textile industry (since raw material prices dropped but demand for finished goods also fell), leading to factory closures and job losses. The state’s economy was so tied to cotton that the decline in agricultural revenue rippled through all sectors, from small town businesses to larger industries.

Part C:

Franklin D. Roosevelt could address the Depression by:

1. Relief Programs: Creating jobs (like the Civilian Conservation Corps, CCC, to employ young men in environmental projects) and providing direct aid to the unemployed and poor (e.g., through the Federal Emergency Relief Administration, FERA) to meet immediate needs.
2. Recovery Efforts: Stabilizing industries (via the National Recovery Administration, NRA) to set fair prices, wages, and production levels, and helping agriculture (through the Agricultural Adjustment Administration, AAA) by paying farmers to reduce overproduction, thus raising crop prices.
3. Reform Measures: Strengthening the banking system (e.g., the Emergency Banking Act to restore confidence and the Glass - Steagall Act to separate commercial and investment banking) and creating social safety nets (like Social Security) to prevent future economic crises and protect vulnerable populations. He should focus on a combination of short - term relief to help people survive and long - term reforms to fix the systemic issues that caused the Depression.

Answer:

Part A:

• High unemployment (around 25% of the US workforce unemployed).
• Widespread bank failures, with people losing their savings.
• Increased poverty and homelessness, with many relying on soup kitchens and breadlines.

Part B:

Agricultural overproduction (and falling cotton prices), combined with the boll weevil and droughts, affected Georgia the most. Georgia’s economy was heavily cotton - based; the collapse of cotton prices (due to overproduction, global competition, and pests/drought) devastated farm incomes, which in turn hurt related industries (textiles, small businesses) and led to widespread job losses and poverty.

Part C:

Roosevelt should provide relief (jobs/aide), promote recovery (stabilize industries/agriculture), and enact reforms (strengthen banks, create social safety nets like Social Security). For example, create job - creating programs (CCC, WPA), help farmers (AAA), and reform banking (Emergency Banking Act, Glass - Steagall) to fix the economy and prevent future depressions.