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Mount Rushmore
The great monument was made to respect the people who formed America to the way it is today. This project was made public by Roosevelt to bring back employment. -
Economic activity reaches its peak
During the Roaring Twenties, the economic activity reached its peak and started to contract, marking the start of the Great Depression. The Federal Reserve raised it's discount rate from 5% to 6% -
Herbert Hoover becomes president
Hoover becomes president this day. He believed in free-market economy and thought that capitalism would fix all economic downturn. He managed to lower income tax rate from 25% to 24% -
Black Tuesday
16 million shares were traded and the panic was worsened when banks got involved. The prices of the New York Stock Exchanged completely collapsed and led to the emerge of the Great Depression. -
Hoover signs Smoot-Hawley Tariff Act
This raised taxes on imports. It was meant to help farmers but instead put tariffs on hundreds of products. This set off a trade war which made international trade collapse. Drought hit the Mississippi River which was later known as the Dust Bowl drought. -
Food Riots break out
In Minneapolis, food riots broke out. As the drought continued, it hit the southern states the worse. The economy shrank to 6.4%, unemployment rate rose to 15.9% and prices fell another 9%. The people were getting hit the hardest with the effects of the Great Depression. -
Hoover signed the Revenue Act of 1932
This act increased the tax rate income to 62% to reduce federal shortage. Hoover believed it would restore confidence. Instead it made taxes higher and made the Depression worse. -
Roosevelt announces plans for Civil Works Administration
This created 4 million additional construction jobs for the unemployed. This made $400,000,000 in public work funds. -
Soil Conservation and Domestic Allotment Act
The Soil Conservation and Domestic Allotment Act paid farmers to plant soil-building plants and crops. -
Black Sunday
Black Sunday was the worse dust storm in history. This caused economic and agricultural damage. FDR passed the Soil Conservation Act to teach the farmers sustainable methods. -
Hottest Temps Recorded
This year had the hottest temperatures on record. There were 29 days in a row with temperatures at or above 100 degrees. By the end of the year, droughts covered more than 75% of the country and 27 states. Almost 80% recorded extremely dry temperatures. -
Social Security Act
The act provided income to the blind, elderly and children in low-income families. By using payroll taxes and the Social Security Trust Fund, it was paid for. -
Strongest heatwaves
The hottest summer on record began. Eight states got temperatures 110 degrees or higher. Throughout the year, the heat killed over 1,000 people, and 3,500 people drowned from trying to cool off. -
FDR's Second Term
Roosevelt launched a third New Deal. It was called the Wagner-Steagall Act. It funded state-run public housing projects. Roosevelt started to cut spending to reduce the debt. The economy started to contract again causing the debt to rise to 37 billion. -
FDR Abolishes Mark to Market Accounting, Great Depression nearing its end
This was believed to have forced banks out of business. The rule forced banks to write down their real estate as values were falling. The rule allowed them to keep the assets on the books at historical prices. The economy started to grow and the Great Depression was over. -
WWII Begins
Majority of the worlds countries were involved and formed two opposing military alliances: The Allies and Axis powers. This was sparked by the Nazi invasion of Poland.
