Unit Title: The Great Depression and New Deal
Grade and Subject: Eighth Grade Social Studies
Classroom Teacher: Debra Krawetz
Unit Introduction
In this unit, students will develop an understanding of the effects of economic
hardships on Americans during the Great Depression. The students will
examine the programs set forth in the New Deal, and debate the question of
whether government has a the responsibility or authority to intervene to
establish social/economic programs to improve the quality of life for citizens.
The students will also discuss how the use of mass media (the radio and Fireside Chats) helped to
communicate the plans of the New Deal, secure public confidence it, and calm people’s fears.
1. Standards and Benchmarks
The student will understand basic principles of economic decision-making.
The student will understand business organizations, market structures, and financial
institutions that operate within our economy. The student will understand the economic
activities of government.
The student will understand the concepts that measure the national economy.
The student will acquire skills of chronological thinking.
The student will understand and analyze the economic, social, and political transition of
the United States before, during, and after World War II.
The student will recognize the importance of individual action and character in shaping
civic life.
2. Enduring Understanding:
The students will understand the economic causes and the social effects and hardships
of the Great Depression.
The students will understand how the role of government changed through the New
Deal.
3. Essential Questions
What caused the Great Depression and how did it affect people’s daily lives?
How did the New Deal change the role of government and impact American lives?
How did “mass media” help to communicate information to the public and quell people’s fears?
4. Summative Assessment
Note: This will be introduced in Lesson One, and re-introduced and assigned in Lesson Ten.
Option #1:
The New Deal Debate: Did the New Deal “Solve” the Great Depression?
Option #2: Does the federal government have the authority and responsibility to establish social
and economic programs to improve the quality of life for its citizens who need help?
 Students will research and debate a position posed in one of the Summative Assessment options,
choosing from Option #1 or Option #2
 Time will be provided in class to research their positions
 Students will write a five-paragraph essay stating their position
 Students will present their positions to class
5. Formative Instruction and Formative Assessments –See unit outline and daily lesson plan
6. Differentiation –See daily lesson plans for accommodations for specific students.
7. Vocabulary/Academic Language
List 1
1. Crash of 1929
2. Depression
3. Recession
4. Recovery
5. Black Thursday
6. Black Tuesday
7. Margin account
8. Buying on the margin
9. Mortgage
10. Foreclosure
11. Wall Street
12. Bull Market
13. Bear Market
14. economic hysteria
List 2
1. The New Deal
2. Brain Trust
3. Fireside Chats
4. Tennessee Valley Authority, TVA
5. National Labor Relations Act, NLR
6. Social Security Act, SSA
7. Works Progress Administration, WPA
8. Farm Security Administration, FSA
9. Emergency Banking Act, EBA
10. Congress of Industrial Organizations, CIO
11. Farm Credit Administration, FCA
12. Federal Project One
Civilian Conservation Corps, CCC
List 3
1. Dust Bowl
2. Dust Storms
3. Route 66
4. Okies
5. Migrant Farmers
6. Hoovervilles
7. Shantytowns
8. Erosion
9. Irrigation
10. Black Sunday
List 4
1. Franklin Delano Roosevelt
2. Hubert Hoover
3. Eleanor Roosevelt
4. Marian Anderson
5. Dorothea Lange
6. Woody Guthrie
7. John Steinbeck
8. Langston Hughes
8. Skills /Concept
Concepts:
 End of prosperity
 Buy now, pay later
 The common good
 Individual Responsibility
 Federal Responsibility
 Natural Disaster Vs. Human Generated Disaster
Skills:
 Evaluating primary source material and texts
 Comparing and contrasting primary sources
 Working Collaboratively
 Writing: Creative, essays, current events review, etc.
 Reading: Literal, interpretive, evaluative
 Creating a thesis and supporting it.
 Speaking, listening and participating in class discussions.
9. Resources
Call to Freedom textbook, Chapter 24 or History Alive Chapter, Chapter 28. Handouts and web based
materials included in this packet; see Daily lesson plans for specific materials
THE UNIT WHY
A. Why Care about the Depression?
1. The Great Depression was a period of worldwide economic disaster. In the United
States, the crash of 1929 left many people destitute. Most Americans have family
stories from this period that are shared with younger family members.
2. In a democratic nation, we have responsibilities to help those in need as exemplified
in the programs of the New Deal.
3. Understanding the factors that can lead to a major financial downturn will provide
students with a better understanding of how economics plays a role in our daily lives.
B. What skills will students learn?
1. Analyzing the causes and the impact of the Great Depression and the of the New
Deal
2. Empathizing with the experiences of others
3. Comparing and contrasting the different experiences of those who lived through this
period
4. Drawing conclusions and forming possible new inferences
5. Understanding the sequence of events leading up to a situation or event.
C. Why are those skills important?
It is important to understand the role that the government can play in providing for the
well being of all Americans. The New Deal established the principle of “federal
responsibility” for maintaining a stable economy and providing for the health and
welfare of citizens, and initiated the concept of government spending to help the poor.
Unit Title: The Great Depression and New Deal
Lesson Number:
Lesson Title:
Unit Title:
Grade/Subject:
Teacher:
One
Introduction Lesson
The Great Depression and New Deal
Eighth Grade U.S. History from 1880
Debra Krawetz
This lesson will introduce the students to the Unit, The Great Depression and New Deal. This lesson
provides students with many introductory and background materials to the unit, and it may take more than
one day to teach.
1. Expectation: Students will be introduced to the new unit, take notes from an overhead, and answer
questions relating to the idea of the government taking responsibility for the well being of citizens.
2. Engagement
 Display the overhead titled, “Overview of the Great Depression.” Read through the text while
students takes notes on the main points on the transparency. OPTIONAL: Make a PowerPoint
Show of pictures such as Hoover, Roosevelt, Wall Street, Migrant Mother, and hard times, news
clippings, etc. and show it as you introduce the unit.
 Read the questions on the transparency, and have students discuss the questions with a
partner/group and then write answers the (3) questions in their S.S. notebook.
 Share responses with the entire class.
 Present the transparency (handout #2) that asks students what they KNOW about the Great
Depression, and what they’d like to LEARN. Allow them to work in small groups and then discus
their responses as a class. Record their answers on a large sheet of paper.
 Present “The Unit Why” with the class. –Handout #3
 Distribute the Vocabulary list to the class and go over words. –Handout #4.
 Introduce the Summative Assessment and ask students what they will need to learn to answer the
questions posed in the Summative Assessment.
3. Exploration
 Working with a partner/group, students will discuss questions presented and explore possible
answers.
 Students will examine what they already know about this period, and consider new areas of study
that they would like to explore.
 Students will offer answers to the questions posed in the Summative Assessment.
4. Explanation
The students will take notes, and then discuss and write answers to questions posed to them about “the
responsibility of government” to its citizens.
5. Evaluation: These will be ungraded, but the teacher should walk around to check off that each
student completed the assignment. Students will share their answers aloud.
6. Differentiation: For note taking, students who have difficulty writing will be required to record less
information in their notebooks. Students’ answers will reflect their own prior knowledge and experiences.
Enlarged copies of handouts and transparencies will be made for students who have visual difficulties.
7. Handouts and Materials
 Unit Overview
 The Unit Why?
 Know/Learn about the Great Depression
 Vocabulary Sheet.
 Summative Assessment -See Lesson One: Handout #5
Lesson One: Handout #1
Overview: The Great Depression
The 1920s seemed a time when the United States
was unbeatable, but then it all changed on October 29, 1929
when the stock market crashed. Billions and of dollars of
stocks were lost, and the effects were felt throughout the
country. By 1932 banks were closing daily, the lines at soup
kitchens were becoming longer and longer, and more
Americans than ever were out of work. After the prosperous
1920’s, few people expected this and it sent the country into a
tailspin. By 1933, nearly 25% of the work force was
unemployed and many families split up to find jobs.
In 1932, Franklin D. Roosevelt (FDR) was elected president,
defeating Hubert Hoover. In his first 100 days, he created the
“New Deal,” a program aimed at helping Americans survive
the economic crisis. The New Deal created many agencies to
help the poor, and to put people back to work.
Discuss these questions with a partner, and answer each
question in 3-4 sentences in your S.S. notebook:
1. Is the government is responsible for our economic and social
well-being? (Explain your reasons why or why not.)
2. How should we help the poor out of poverty?
As individual citizens? b. As a government
3. Today, what citizens in our country need more support?
4. Give examples of the “types” of support they need.
Lesson One: Handout #2
What do you currently
KNOW about the
Great Depression?
What would you like to
LEARN about the
Great Depression?
Lesson One: Handout #3
The Unit Why?
A. Why Care about the Depression?
The Great Depression was a period of worldwide
economic disaster. In the United States, the crash of 1929 left
many people destitute. Most Americans have family stories
from this period that are shared with younger family
members.
In a democratic nation, we have responsibilities to help those in
need as exemplified in the programs of the New Deal.
Understanding the factors that can lead to a major financial
downturn will provide students with a better understanding of how
economics plays a role in our daily lives.
B. What skills will I learn?
1. Analyzing the causes and the impact of the Great Depression and
the of the New Deal
2. Empathizing with the experiences of others
3. Comparing and contrasting the different experiences of those who
lived through this period
4. Drawing conclusions and forming possible new inferences
5. Understanding the sequence of events leading up to a situation or
event
C. Why are those skills important?
It is important to understand the role that the government can play in
providing for the well being of all Americans. The New Deal
established the principle of “federal responsibility” for maintaining a
stable economy and providing for the health and welfare of citizens,
and initiated the concept of government spending to help the poor.
Before this time period, federal programs like this did not exist.
Lesson One: Handout #4
Vocabulary List #1: The Stock Market Crash of 1929
1. Crash of 1929
The period from Sept. to Nov. 1929 when the stock market dropped
violently
2. Bear Market
When stockholders are selling in anticipation of falling prices.
3. Black Thursday
4. Black Tuesday
5. Bull Market
6. Depression
7. Economic
Hysteria
8. Foreclosure
9. Margin account
10.Mortgage
11.Recession
12.Recovery
13.Stock
14.Speculation
15.Stock Market
16. Wall Street
October 24, the day frightened investors tried to sell off all their stocks
before prices fell lower/
October 29, 1929. This is the date of the most famous stock market crash
in history.
When stock prices are rising and are expected to continue rising.
Period in the 30’s when business, employment, and stock values declined
severely remained at a low level of activity.
During the depression, a panic and sense of disorder experienced by
stock and bank account holders afraid that their entire life savings was
gone.
The legal process by which an owner's right to a property is terminated,
usually due to default.
A brokerage account, which the brokerage lends the client cash. Buying
on margin is a risky technique.
A loan to finance the purchase of a home or farm, usually with payment
periods and interest rates
A period of reduced or declining economic activity lasting for about a
year.
an improvement in the economy marking the end of a recession or
decline.
A share of ownership in a company held by an individual investor.
A financial transaction that involves potential risks with the hope of
making a profit.
General term for the organized trading of stocks through exchanges and
over-the-counter.
Financial district in lower Manhattan; street where the NYSE, banks and
brokerage houses are located.
Lesson One: Handout #5
Summative Assessment Lesson
What will a great product look like for this assignment? –Show rubric




Students will research and debate a position posed in one of the Summative Assessment
options, choosing from Option #1 or Option #2
Time will be provided in class to research their positions
Students will write a five-paragraph essay stating their position
Students will present their positions to class
Option 1: The New Deal Debate: Did the New Deal “Solve” the Great Depression?
Position #1: Defend the New Deal
The New Deal helped to solve the economic hardships that Americans experienced during the
Great Depression, alleviating much of the economic stress that people faced in their daily lives
and allowing the country to recover and get back to work. The New Deal prevented the economic
and political collapse of the United States and created agencies to help prevent future depressions.
Position #2: Oppose the New Deal
The New Deal did not help to solve the economic hardships that Americans experienced during
the Great Depression. The New Deal was a socialistic program that has overly expanded the role
of the federal government. Too much power has been shifted to Washington, and too much
money spent on its programs at a time that we should be reserving resources.
Option 2: Does the federal government have the authority and responsibility to establish
social and economic programs to improve the quality of life for its citizens who need help?
Position #1: The federal should support the people who need help. It is the government’s duty to
provide assistance to the underprivileged and those with fewer resources. It is the federal
government’s responsibility to establish social and economic programs to improve the quality of
life for its citizens. Government involvement in caring for the needy should be expected.
Position #2: The federal should not support the people who need help. America is the land of
opportunity, and individuals should “work hard” to improve the economic situation for their
family. It is not the federal government’s responsibility to establish social and economic
programs to improve the quality of life for its citizens. Government involvement in caring for the
needy should be not expected.
You will receive this Summative Assessment at the end of this unit. What questions will you
need to explore to answer the questions and take a position posed in this Summative Assessment?
Rubric for Summative Assessment
Five Paragraph Essay for Option #1 or Option #2
 Introduction and thesis
 Content Information
 Paragraph Organization and Flow
 Five Primary Sources - Explanation and Interpretation
 Conclusion
 Mechanics and Grammar

Presentation of Position to Class
Lesson Number:
Lesson Title:
Unit Title:
Grade/Subject:
Teacher:
Two
The Causes of the Depression
The Great Depression and New Deal
Eighth Grade U.S. History from 1880
Debra Krawetz
1. Expectations
Students will… learn about of the factors and causes leading up to 1929 Market Crash, read and
discuss news headlines from 1929, and examine how the news and financial industries created a “false
sense of security” for people, denying the reality that a severe economic depression had begun.
2. Engagement:
 In small groups, students will read the handout on the Causes of the Stock Market Crash of
1929. Handout #1 Show graph of the decline of the market. Handout #2
 Optional: Students will look at the textbook pages that outline reasons for the Stock Market
Crash. (Call the Freedom, pp. 732-725 or check your school’s textbook.)
 Students will fill out a Cause and Effect worksheet or write in S.S. notebook in groups on the
causes, reasons, and effects of the depression. Handout #3
 Students will receive a document showing New York Times 1929 Headlines, Handout #4,
occurring before and after the crash. They’ll read the list aloud with their tables.. Tell
students, “As you read through the headlines, imagine you are an amateur investment group in
that time trying to decide what to do with your money. Come up a plan based on the headlines,
of how you will invest your money. Plans will be shared with the class
 Each group/table will share their plan with the class. Some questions you can present to the
class about the headlines to have as a guide:
Guiding Questions…..
What did you read in the newspaper headlines in the summer and fall of 1929? What did you
see that might have warned of the impending trouble? What were the different views on what
is going on with the stock market? How do Babson’s and Fisher’s views differ? Whose view
was more popular? Why? Why were most of the articles at the time more optimistic?
 Wrap Up Questions.
Why was Babson’s advice (and others who warned people of the crash) ignored?
What are (3) things you would like to learn about the Stock Market Crash of 1929?
 OPTIONAL: Red full texts of the BABSON and FISHER articles -PDF format included. Or
read personal accounts of the market crash.
3. Exploration
 Working in student groups, students will list causes, reasons , and effects of the Stock Market
Crash of 1929.
 Working in student groups, students will read a list of Summer/Fall 1929 headlines, and conclude
based on the information what kind of an investment plan they should follow. .
4. Explanation
Student groups will write out and then present their list of “Causes, Reasons & Effect” of the crash
to the class
Student groups will write and present their investment plan to the class based on the 1929
headlines.
5. Evaluation
Student work will be un-graded. The teacher will walk around to see what the different groups are
discussing and writing. At the end of the lesson, the teacher will walk around the room to check
off each student’s work.
6. Differentiation
For note taking, students who have difficulty writing will be required to record less information in
their notebooks. Students’ answers will reflect their own prior knowledge and experiences.
Enlarged copies of handouts and transparencies will be made for students who have visual
difficulties.
7. Handouts and Materials
 Handout #1: Causes of the Great Depression Handout
 Handout #2: Graph of Stock Market 1920-1932
 Handout #3: Cause/Effect Worksheet/Transparency
 Handout #4: NYT 1929 Headlines
Lesson Two: Handout #1
Events that Caused the Great Depression
The American public found the Three B's responsible for the crash
and the depression: Bankers, Brokers, and Businessmen. Here are
some other reasons:
1. War Debts: War debts form WWI needed to be paid.
WWI Veterans demand their government war bonuses.
2. Unequal Distribution of Wealth: The rich got richer,
the poor got poorer, but people’s wages stayed the
same as prices for goods soared. The top 2% of
Americans earned 28% of all income; 2-3% owned
stocks.
3. Brokers Encouraged: Buy Now, Pay: Many people
bought expensive items (cars, radios, and stocks) “on
credit.” Buying stocks from a broker “on the margin”
meant that the stocks were purchased “on credit” in the
hopes that stock prices would go up. Brokers
encouraged this practice.
4. Decline of World Trade: The market for U.S. good
dropped, as Europeans consumers did not have enough
money to purchase American goods. Concerned that
U.S. goods were not selling well in Europe, lawmakers
set high tariffs/taxes on imported goods.
5. Supply and Demand in U.S.: Over production in
industry and factories dropped in the 1920’s.
Americans bought fewer items such as cars and radios
because they were worried buying on credit.
6. Farmers, Coal & Textile Workers Suffered in the
1920’s: The 1920’s were not a prosperous period for
farmers, miners, and textile workers. Prices fell
throughout the 1920’s and remained low. Some
farmers lost so much money they lost their farms.
7. Weakness in Banking System: Banks had invested
heavily in stocks so they suffered along with the small
investors. Banks deposits were not insured (like FDIC
today) and did not have money on hand when people
came to withdraw their savings.
8. Stock
Market Crash: The stock market reached a high
point in September 1929, but on Oct. 23 the market
dropped slightly. On Oct. 24 (“Black Thursday”) afraid
the market would fall lower, thousands of investors
sold their stocks off. Then on the Tuesday October 29,
a day called, “Black Tuesday,” the market collapsed. At
first, many people thought that the market would
recover. Most newspapers features articles with quotes
from “the experts” that led the public to believe the
market would recover soon.
Lesson Two: Handout #2
The Stock Market: 1920-1930s
1. What does this graph show about the time- period?
2. What accounts for the temporary recovery in Dec. 1929?
Lesson Two: Handout #3
THE GREAT DEPRESSION
Cause
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
Reasons for
the Cause
Effect
Lesson Two: Handout #4
New York Times
1929 Summer & Fall Headlines
Before the Crash...
Wednesday, July 3, 1929, Page 31, Col. 5
SEES STOCK RISE JUSTIFIED
Moody's Says Returns Are In Line With Industrial Activity
Friday, September 6, 1929, Page 1, Col. 7
STOCK PRICES BREAK ON DARK PROPHECY
Drop In Hectic Last Hour As Babson's Prediction Of A Big Slump Is Printed
Page 12, Col. 2
BABSON PREDICTS CRASH' IN STOCKS
Says Wise Investors Will Pay Up Loans And Avoid Marging [sic] Trading
----------
NOTE: Roger Babson was a statistician who predicted of a coming stock market crash. His
views were not popular on Wall Street, but he was correct.
FISHER VIEW IS OPPOSITE
Declares No Big Recession In Market Is Due, Because Inventions Are Adding To Health
NOTE: Irving Fisher was a Professor of Economics at Yale. He was quoted many times in the
NYT predicting continued high prices and growth in the market. He was wrong!
August 24, 1929
Stock Market Goes Up, Surprising Wall Street;
Brokers' Loans at Peak Had Indicated a Drop
--------------
133,000,000 in brokers’ loans
August 28, 1929
STOCK MARKET BEARISH THIS YEAR, SAYS BANK,
FIGURING 60% OF LISTED ISSUES DECLINING
-------------…The stock market of 1929 has not been so rampantly “bullish” as generally believed….
Lesson Two: Handout #4, p.2
September 8, 1929
FINANCIAL MARKETS; Stocks Move Irregularly
With Both Advances and Declines --Sterling Unchanged.
“Wall Street has a very natural dislike of making forecasts of an immediate decline…”
-----------------------------------------------------------------------------------------------------------
After the Crash
Wednesday, October 2, 1929, Page 5, Col. 1
WARNS BANKERS ON CREDITS
He Tells Convention Tendency is to "Pass the Buck" On Market Loans to Reserve Board
----------
CALLS THEM RESPONSIBLE
---------Not Reserve System's Duty to Assume Burden, Says President at San Francisco Meeting
----------
CONFIDENCE IS UNSHAKEN
But He Declares That Some Institutions Are Overloaded At The Present Time
Sunday, October 13, 1929, II, Page 7, Col. 2
STOCK PRICES WILL STAY AT HIGH LEVEL FOR YEARS
TO COME, SAYS OHIO ECONOMIST
FINANCIAL MARKETS; Stocks Decline Sharply as Brokers'
Loans Reach a New Peak at $6,474,000,000
Acute weakness in stocks due to an expansion in brokers loans of $12,000,000., to a new peak.
Wednesday, October 16, 1929, Page 8, Col. 4
FISHER SEES STOCKS PERMANENTLY HIGH
Yale Economist Tells Purchasing Agents Increased Earnings Justify Rise
----------
SAYS TRUSTS AID SALES, Page 41, Col. 1
AYRES SEES MARKET AS 'CREEPING BEAR'
Fall of Prices Began Months Ago, He Says, but Was Hidden by Rising Averages
DECLINE IN AUTUMN USUAL
Lesson Two: Handout #4, p.3
Recession This Season About 14 Per Cent, Against Normal Drop of 9, He Reports
MITCHELL ASSERTS STOCKS ARE SOUND
Banker, Sailing From Europe, Says
He Sees No Signs of Wall Street Slump
Tuesday, October 22, 1929, Page 24, Col. 1
FISHER SAYS PRICES OF STOCKS ARE LOW Quotations
Have Not Caught Up With Real Values As Yet, He Declares
----------
SEES NO CAUSE FOR SLUMP
----------
Economist Tells Credit Men that Market Has Not Been Inflated, But
Merely Readjusted
“Fisher dismissed yesterday's break in the market as a shaking out of the lunatic fringe that
attempts to speculate on margin. He predicted ragged market, returning eventually to
further steady increases.”
Wednesday, October 23, 1929, Page 1, Col. 4
STOCKS GAIN SHARPLY BUT SLIP NEAR CLOSE
Vigorous Recovery Marks Most of Day and Many Issues Show Net Advances
---------MARKET GLOOM LESSENED
----------
October 5, 1929
FINANCIAL MARKETS; Stocks Decline
Sharply, as Trading Volume Increases Margin Accounts Impaired
------------------------October 20, 1929
FINANCIAL MARKETS; Stocks Sweep Downward Under Heavy
Liquidation--Trading Almost at Record Pace.
---------------------------------------Friday, November 1, 1929, Page 3, Col. 3
SISSON DECRIES INFLATION
Lays Crash to Small Investors' Lack of Experience
Lesson Two: Handout #4, p.4
Thursday, December 19, 1929, Page 36, Col. 1
LAYS STOCK BREAKS TO MOB PSYCHOLOGY
W.W. Price Says Crashes Will Come So Long as Facilities for Speculation Exist.
Wall Street Headlines, Spring & Fall 1929
Note: Immediately after the market opened on the Black Thursday, October 24, 1929,
prices began to slump so fast that all the profit and gain made in the previous year was
wiped out. During the period form October 24 to November 13, 1929, $30 billion was lost
permanently by the United economy.
One lone voice was publicly warning of a gigantic stock market crash, the market analyst,
Roger Babson. However, the oracle of disaster was shouted down and scoffed by a chorus
of Wall Street brokerage houses. Furthermore, the self-proclaimed market guru, Economist
Irving Fisher also took issue with Babson's prediction of a market debacle, saying, “There
may be a recession in stock prices, but not anything in the nature of a crash.”
Photo: People on Wall St. scurrying
to sell their stocks and recover their money.
Cartoon: Rollin Kirby, 1929
Repercussions of the
Stock Market Crash
Lesson Two: Handout #5, p 1
Stock Buying
Activity
Select stocks to buy plan based on
NYT 1929 Headlines
Referring to the articles published before Black Thursday….
IMAGINE that you are an “amateur” investment club deciding how to invest
$100,000 with a broker from the “People’s Bank.” The time is early
September of 1929, just a few weeks before the crash.
INFORMATION:




The date is September 1, 1929
Your club/group has a day to decide what stocks to buy
You have $100,000 in your portfolio to spend
Stocks are sold in $100 lot shares only
 You can buy some or all of the 12 stocks listed the next page.
 You can also keep some of the money in a bank account.
TASK: As a group, decide on how you will invest your $100,000.
What stocks do you think will be good investments? Why?
*The stock list is attached to this sheet.
NOTE: You may look at articles on Historic NYT or Historic Wall
Street Journal but you may not look for dates after Black Thursday,
September 24, 1929.
Lesson Two: Handout #5, p 2
Stock Buying
Activity
Directions: You have $100,000 to invest. Choose stocks and the number of shares your
club wants to buy. List the reason why you think the stock would be a good investment.
Name of Stock
# of $100. Reason for buying this stock?
Lot Shares
Ex. Eastman Kodak
100 Lot Shares
Price/share up 2 years in a row.
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
Leave for other
purpose
Total = $10,000
Total Amount
$10,000
Signatures /Club Members:
Date
Signature: People’s Bank Broker:
Lesson Two: Handout #6 -Optional
Photo images following the Stock
Market Crash on Black Tuesday,
October 29, 1929
Write a ONE full paragraph news article describing
what is going on in each photo. Answer the 5-W’s in
each paragraph.
QuickTime™ and a
TIFF (LZW) decompressor
are needed to see this picture.
Image #1: The Rush to withdraw their Savings from
a bank, October 1929.
QuickTime™ and a
TIFF (Uncompressed) decompressor
are needed to see this picture.
Image #2: Trying to cover his Wall Street losses,
this man attempts to sell his roadster on NYC
streets for $100 cash.
Image #3: People crowd Wall Street after the
Stock Market Crash of 1929.
Lesson Two: Handout #7 -Optional
Personal Account of the Stock Market Crash, October 1929
-Anonymous Source: DISCovering US
*Margin account = buying on credit
I came into the business, out of the University of Chicago, about Christmas 1924. I had about $3,000 in
the stock market, which was all the money I had. On Black Friday--Thursday, was it?--that margin
account went out of the window. I may have had about $62 left. My wife had a colossal $125 a week job
with a Shakespearean theater company. That night, she came home to our little apartment, and she said,
“Guess what happened today?” I said, "What?" She said, "I quit." I was making about $60 a week and she
was making $125. Two-thirds of our income and all of our savings disappeared that day.
I was a margin clerk. He's a man who keeps the figures on individual accounts if they're carrying stocks
on margin--that is, if they're carrying stocks without paying for them. When the break started, you had a
deluge of selling, from weakened margin accounts. We had to stay up all night figuring. We'd work till
one o'clock and go to the LaSalle Hotel and get up about five and get some breakfast and continue
figuring margin accounts. 'Cause everybody was in trouble. But everybody.
The guy I worked for was sitting in the wire room, watching the tape. The tape was something to see,
because Radio Corporation, let's say, would be ninety-five on the tape ... they'd flash you sixty on the
floor. The floor was a madhouse. I said to him: "Are we solvent?" He says, "I won't know till about
twelve tonight." He was half-serious. It was brutal.
The Crash--it didn't happen in one day. There were a great many warnings. The country was crazy.
Everybody was in the stock market, whether he could afford it or not. Shoeshine boys and waiters and
capitalists. ... A great many holding company pyramids were unsound, really fictitious values. Mr. Insull
was a case in point. It was a mad dream of get-rich-quick.
It wasn't only brokers involved in margin accounts. It was banks. They had a lot of stinking loans. The
banks worked in as casual a way as the brokers did. And when they folded. ...
I had a friend in Cincinnati who was young and attractive. He had a wife and children and he was insured
for $100,000. Life was over as far as he was concerned. He took a dive, to take care of his wife and kids.
There was a number who took the dive, to collect on insurance policies. It’s unthinkable now, when you
know how many people have been able to come back.
There were others that impress me. I kept hearing about town that their businesses were in trouble. But
they never lowered their standard of living a bit. They lived like kings, right through the Depression. I’ve
never been able to figure this out. I knew some people who maintained their Lake Shore Drive apartments
and cars, and everybody knew they were in trouble. I never knew how they did it, and I didn't care
particularly. My friends and I were all broke, and we had no pretensions.
You had no governmental control of margins, so people could buy on a shoestring. And when they began
pulling the plug ... you had a deluge of weakness. You also had short-selling and a lack of rules. There
were many cases of staid, reputable bankers making securities available on special deals--below the
market price--for their friends. Anything went, and everything did go. Today, there are very few bankers
of any repute who have objected to the Securities Exchange Commission. They believe that the regulation
in 1933 was a very, very sound thing for our business.
History See: http://galenet.galegroup.com/servlet/HistRC/
Lesson Number:
Three
Lesson Title:
The 1932 Election
Unit Title:
The Great Depression and New Deal
Grade/Subject:
Eighth Grade U.S. History from 1880
Teacher:
Debra Krawetz
1. Expectations
Students will learn about the candidates and issues involved in the 1932 Presidential election.
Students will read and listen to an audio excerpt of a speech given by Herbert Hoover in Oct. 1932 and
discuss the themes conveyed in his address.
Students will write a letter to President Hoover explaining to him how difficult their daily lives have
become since the depression hit.
.
2. Engagement
 Distribute the handout (Lesson Three: Handout #1) on the election and 1932 and read it aloud
together. Ask the students: these questions:
How do Hoover and Roosevelt differ?
Why was Hoover blamed for the Great Depression?
Do you think that anyone felt that Roosevelt’s polio would present challenges to him?
How could it work to his favor?
 Play the speech (Lesson Three: Handout #2) excerpt on audio of Hoover’s Oct. 1932 address.
Tell students, Hoover maintained in March of 1930, that the worst had passed, but the
economic situation only got worse. Audio at: http://historymatters.gmu.edu/d/5062/
Why did Hoover think that America would recover quickly from the 1929 depression?
 Go over the three quotes by Hoover at the bottom of the page on Handout #2.
 Read the anonymous letter to President Hoover aloud with the class.
 Activities:
Option 1: Students can write a letter to President Hoover from the perspective of a homeless
person living in a Hooverville camp, telling Hoover about the troubles in their life and what
they feel should be done.
Option 2: Students can draw 4 pictures (1928, 1929, 1930, & 1932) with captions that show
Hoover’s attitudes about the economy and helping the poor. –Refer to the 4 quotes at the
bottom of Handout #4, and illustrate each quote.
3. Exploration
Students will be told that they will read information about the 1929 election and an excerpt from a Hoover
speech from Oct. 1932. During the reading, the students will be asked specific question listed above. After
this, the students will apply this information to a letter that they will write to President Hoover.
4. Explanation
After the information about the 1932 election and the speech are discussed, each student will write a letter
to President Hoover, pretending that they are an unemployed worker in the early 1930’s. In the letter,
students will show and provide specific examples of what life was like at that time, and difficulties their
family is experiencing.
5. Evaluation
The teacher will grade the letters or drawings that the student create. Students will share their letters at the
end of class. The work will be collected, and will be graded on the following criteria:
1.
2.
3.
4.
Demonstrates an understanding of period.
Shows Empathy
New vocabulary Usage
Grammar/Spelling.
6. Differentiation
For note taking, students who have difficulty writing will be required to record less information
in their notebooks. Students’ written work will reflect their own prior knowledge and
experiences. Enlarged copies of handouts and transparencies will be made for students who have
visual difficulties. Allow students the choice of completing the letter or drawing activity.
7. Resources
http://www.fdrlibrary.marist.edu/
http://www.whitehouse.gov/history/presidents/fr32.html
http://www.whitehouse.gov/history/presidents/hh31.html
Lesson Three: Handout #1
Presidential Election of 1932
HOOVER
b. 1874 d. 1964
ROOSEVELT
b. 1882 d. 1945
Incumbent/ Republican
Herbert Hoover
Challenger/ Democrat
Franklin Delano Roosevelt
31st President, won 59 electoral
votes
32nd President, won 472 electoral
votes.
Policies
Hoover believed in lowering taxes and he
refused to give out any national welfare,
believing it demeaned proud Americans.
His view was that while people must not
suffer from hunger and cold, but caring for
them must be a local and voluntary
responsibility, not that of the federal
government.
Bio
Herbert Clark Hoover was born in Iowa
into in a poor family and felt that
Americans should work hard the way he
did. He studied engineering at Stanford
University before he got into politics. After
serving as Secretary of Commerce under
Presidents Harding and Coolidge, he
became the Republican Presidential
candidate in 1928.
Policies
FDR, promoted a platform with Three R’s:
Relief, Recovery, and Reform. He
introduced the New Deal saying: “I pledge
you, I pledge myself, to a new deal for the
American people.” However, he said little
about the specifics of his plan. He felt that
it was the federal government’s
responsibility to care for the poor.
Bio
Franklin Delano Roosevelt was born into a
wealthy New York family. He went to
Harvard University, and Columbia Law
School. He was married to Eleanor who
became a very active first lady during his
four terms in office.
He was a fiscal conservative who opposed
payments to the poor because he felt it
created a dependency on a welfare system.
He cited the importance of a balanced
budge and low taxes. Homeless people
began to make camps on the outskirts of
cites and called them “Hoovervilles,”
named after President Hoover who they
blamed for the depression. He served one
term after being defeated in 1932 by FDR.
Many critics believe that Hoover failed to
recognize the
severity of the depression .
Although he was stricken with polio in
1921, he did not give up his desire to be
active in politics. In 1928, he was elected
governor of NY, and in 1932 won the
presidential election in a landslide victory.
He took the first 100 days to develop a
New Deal plan. The federal government
paid for theses programs by raising taxes
and by spending more money then it took
in. FDR was reelected for four terms and
died in office in 1945. FDR, a popular
president, was a good communicator who
reassured people during hard times.
Lesson Three: Handout #2
Electoral College Results:
Election of 1932
Herbert Hoover (Incumbent):
Votes
Franklin Roosevelt (Challenger):
Votes
59 Electoral
472 Electoral
Lesson Three: Handout #3
Hoover Insists That Things are Getting Better
“The Gigantic Forces of Depression are Today in Retreat”
–Excerpt of a speech from Oct. 22, 1932 in Detroit Michigan *Herbert Hoover Library
To win reelection in 1932, Hoover would have to convince voters that his policies were bringing
recovery. In this excerpt from an Oct. 22, 1932, campaign speech Hoover told a partisan crowd
of twenty-two thousand in Detroit that success would have come even sooner if not for
Democratic obstruction. In this speech, the audiences heard Hoover hail ten sure signs of
“economic recovery.”
Play Audio Speech: http://historymatters.gmu.edu/d/5062/
Herbert Hoover’s Speech:
My fellow citizens, the most important issue before the American people right now is to
overcome this crisis. What our people need is the restoration of their normal jobs, the recovery of
agricultural prices and of business. They need help in the meantime to tide them over until these
things can be accomplished and that they may not go hungry nor lose their farms and their
homes.
Now I wish to present to you the evidence that the measures and the policies of the Republican
administration are winning this major battle for recovery, and we are taking care of distress in
the meantime. It can be demonstrated that the tide has turned and that the gigantic forces of
depression are today in retreat. Our measures and policies have demonstrated their effectiveness.
They have preserved the American people from certain chaos. They have preserved a final
fortress of stability in the world.
Recovery would have been faster but for four months of paralysis during the spring months
while we were defeating proposals of the Democratic House of Representatives.
Much has been accomplished despite the opposition of selfish groups and sections of our country
and the unwillingness of a Democratic House of Representatives to cooperate, and much more
must be done. The Democratic candidate says we have been extravagant, and in his various
statements implies that we should make a defense of our actions. There will be no defense
because none is needed.
Hoover Quotes:
August 11, 1928: “Unemployment in the sense of distress is widely disappearing. . . We
in America today are nearer to the final triumph over poverty than ever before in the
history of any land. The poorhouse is vanishing from among us. … There is no
guarantee against poverty equal to a job for every man. That is the primary purpose of
the economic policies we advocate”
November, 1929: “Any lack of confidence in the economic future or the basic strength
of business in the United States is foolish.”
March 8, 1930: “Today the worst effect of the crash upon unemployment will have been
passed during the next sixty days.”1932: “The government should not support the
people.”…. and its role should no “be extended to the relief of individual suffering.”
Lesson Three: Handout #4
An Anonymous Letter to
Herbert Hoover
November 18, 1930
Could we not have employment and food to Eat. and
this for our Children Why Should we hafto [illegible]
now and Have foodless days and [illegible] days. and our children
have Schoolless days and Shoeless days and the land full of plenty
and Banks bursting with money. Why does Every Thing have
Exceptional Value. Except the Human being--why are we reduced
to poverty and starving and anxiety and Sorrow So quickly under
your administration as Chief Executor Can not you find a quicker
way of Executing us than to Starve us to death. . . . Why not End the
Depression have you not a Heart. . . . Yet we are served from the
Source of Life by setch an unjust System. . . . Why Isnt there an
limitation to you people planning to get It all and Starve the rest of
use. . . . Yet you have cut us of with plenty before our eyes--for your
Selves. Yet You Can not use It. The people are desperate and this I
have written, only typical of the masses of your Subjects. how can
we be Law abiding citizens and Educate our children and be Happy
Content with nothing to do nothing to Eat. when your System has
Every Thing under control and cant use It. nor will you give any
thing a way. why take more than you need. why make Laws. and
allow Industry to take It all. why Isnt the Law fixed so Its Just as
Just for one or the others then Industry couldnt take it all. and make
us all victims of your Special arrangement. of things. . . . I am an
Ignorant man and you are Supposed to have great Brains yet I
appeal to you In behalf of thousands In your dominion who would
be good americans Citizins If you would make It Possible.
-Anonymous
Lesson Three: Handout #5
-Optional
Hoovervil
les were
homeless camps
built on the
outskirts of
cities to house
the poor, This
term was named
after President
Hoover who was
blamed for the
problems that
led to the
Great
Depression.
QuickTime™ and a
TIFF (Uncompressed) decompressor
are needed to see this picture.
ASSIGNMENT
Write a 3-Paragraph letter to President Hoover, pretending
that you are an unemployed worker in the early 1930’s living
in a Hooverville. In your letter, provide specific examples of
what life is like for you and the troubles your family faces.