WWI and the Great WWI and the Great DepressionDepression

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War Erupts in EuropeWar Erupts in Europe Because of Because of nationalismnationalism – a feeling of – a feeling of

intense loyalty to one’s country or group intense loyalty to one’s country or group – Britain and Germany raced to build the – Britain and Germany raced to build the largest navy.largest navy.

To protect themselves, European nations To protect themselves, European nations began to form began to form alliancesalliances..

In June 1914, a Serbian terrorist In June 1914, a Serbian terrorist assassinated Archduke Franz Ferdinand, assassinated Archduke Franz Ferdinand, heir to the throne of the Austro-heir to the throne of the Austro-Hungarian Empire.Hungarian Empire.

Austria-Hungary declared war on Serbia.Austria-Hungary declared war on Serbia.

War Erupts in EuropeWar Erupts in Europe Russia decided to help Serbia, which Russia decided to help Serbia, which

caused Austria-Hungary’s ally Germany caused Austria-Hungary’s ally Germany to declare war on Russia as well as on to declare war on Russia as well as on Russia’s ally France.Russia’s ally France.

Germany then invaded Belgium, so Germany then invaded Belgium, so Britain, which had promised to protect Britain, which had promised to protect Belgium, declared war on Germany.Belgium, declared war on Germany.

On one side were the On one side were the Allied PowersAllied Powers – – Great Britain, France, and Russia. Later Great Britain, France, and Russia. Later Japan and Italy joined.Japan and Italy joined.

On the other side were the On the other side were the Central Central PowersPowers – Germany, Austria-Hungary, and – Germany, Austria-Hungary, and the Ottoman (Turkish) Empirethe Ottoman (Turkish) Empire

America Enters the WarAmerica Enters the War When World War I began, President When World War I began, President

Wilson declared the United States to be Wilson declared the United States to be neutral.neutral.

As the war went on, Americans began to As the war went on, Americans began to side with the Allies.side with the Allies.

To stop American assistance to the Allies To stop American assistance to the Allies through trade, Germany began using through trade, Germany began using submarines, known as submarines, known as U-boatsU-boats, to sink , to sink cargo ships headed to Britain.cargo ships headed to Britain.

In 1917, Germany ordered its U-boats to In 1917, Germany ordered its U-boats to attack American ships without warning.attack American ships without warning.

The U.S. declared war on Germany.The U.S. declared war on Germany.

Americans Join the AlliesAmericans Join the Allies As America prepared to enter the As America prepared to enter the

war, Russia withdrew.war, Russia withdrew. In November 1917, the In November 1917, the BolsheviksBolsheviks – –

a group of Communists led by a group of Communists led by Vladimir Lenin – overthrew Russia’s Vladimir Lenin – overthrew Russia’s government. government.

In March 1918, they signed a treaty In March 1918, they signed a treaty ending the war with Germany.ending the war with Germany.

Germany then launched a massive Germany then launched a massive offensive in France.offensive in France.

Americans Join the AlliesAmericans Join the Allies Their goal was to smash the British Their goal was to smash the British

and the French armies before the and the French armies before the Americans could fully mass their Americans could fully mass their strength. strength.

As a result, by the time the As a result, by the time the Americans were assigned their first Americans were assigned their first divisional area north of Paris at divisional area north of Paris at Cantigny, the German army was Cantigny, the German army was about 50 miles from Paris.about 50 miles from Paris.

American Troops in BattleAmerican Troops in Battle The American army crushed the The American army crushed the

Germans at the battle of Meuse-Germans at the battle of Meuse-Argonne.Argonne.

With their troops in retreat, German With their troops in retreat, German military leaders realized they had military leaders realized they had little chance of winning the war.little chance of winning the war.

On October 4, 1918, the German On October 4, 1918, the German government appealed for an government appealed for an armisticearmistice – an agreement to end – an agreement to end fighting.fighting.

Searching for PeaceSearching for Peace The The Treaty of VersaillesTreaty of Versailles ended the war ended the war

and set up the and set up the League of NationsLeague of Nations – an – an international organization to preserve the international organization to preserve the peace.peace.

The treaty required Germany to make The treaty required Germany to make reparations for the damage it had caused.reparations for the damage it had caused.

It created new nations including It created new nations including Czechoslovakia, Yugoslavia, and Poland.Czechoslovakia, Yugoslavia, and Poland.

The U.S. Senate rejected the treaty and The U.S. Senate rejected the treaty and never joined the League of Nations. never joined the League of Nations.

The Great DepressionThe Great Depression The bubble of American prosperity burst when The bubble of American prosperity burst when

the New York stock market collapsed in October the New York stock market collapsed in October 1929.1929.

Thousands of investors lost all their savings.Thousands of investors lost all their savings. In the booming economy of the 1920s, many In the booming economy of the 1920s, many

people invested money in the stock market and people invested money in the stock market and began to borrow money to buy stocks.began to borrow money to buy stocks.

In October 1929, stock prices fell dramatically. In October 1929, stock prices fell dramatically. Investors panicked and began selling their Investors panicked and began selling their stocks.stocks.

Many could not pay back their loans, which Many could not pay back their loans, which weakened the banks. Millions of people lost their weakened the banks. Millions of people lost their savings and their jobs. savings and their jobs.

The Economy CrumblesThe Economy Crumbles The stock market crash shook people’s The stock market crash shook people’s

confidence in the economy.confidence in the economy. Farm income shrank. For many farmers, Farm income shrank. For many farmers,

years of dry weather made the situation years of dry weather made the situation even worse.even worse.

In parts of the Great Plains a long drought In parts of the Great Plains a long drought turned fertile land into a Dust Bowl. turned fertile land into a Dust Bowl.

In months before the stock market crash, In months before the stock market crash, the automobile and construction the automobile and construction industries suffered from lagging orders industries suffered from lagging orders and laid off workers.and laid off workers.

The Economy CrumblesThe Economy Crumbles

Many small banks suffered when Many small banks suffered when consumers failed to meet loan consumers failed to meet loan payments.payments.

Large banks, which had bought Large banks, which had bought stocks as an investment, suffered stocks as an investment, suffered huge losses in the crash and were huge losses in the crash and were forced to thousands of banks to close forced to thousands of banks to close – many depositors lost their money.– many depositors lost their money.

Joblessness and PovertyJoblessness and Poverty As the depression tightened its grip, millions As the depression tightened its grip, millions

lost their jobs.lost their jobs. Long lines of hungry people snaked through the Long lines of hungry people snaked through the

streets of cities, waiting for hours to receive a streets of cities, waiting for hours to receive a slice of bread or a bowl of soup donated by slice of bread or a bowl of soup donated by local government charities.local government charities.

Those who had lost their homes build shelters Those who had lost their homes build shelters out of old boxes and other debris. These out of old boxes and other debris. These shantytowns became known as shantytowns became known as Hooverville'sHooverville's after President Hoover. after President Hoover.

Many Americans blamed President Hoover for Many Americans blamed President Hoover for their hard times because none of his policies their hard times because none of his policies eased the suffering of massive unemployment.eased the suffering of massive unemployment.

Roosevelt’s New DealRoosevelt’s New Deal Franklin Delano Roosevelt was elected Franklin Delano Roosevelt was elected

president in 1932. president in 1932. He sent Congress proposals to fight the He sent Congress proposals to fight the

Depression that collectively became Depression that collectively became known as the known as the New DealNew Deal..

The New Deal created jobs which put The New Deal created jobs which put men to work on projects such as planting men to work on projects such as planting trees, building levees, roads, hospitals, trees, building levees, roads, hospitals, and schools.and schools.

It also created the It also created the Social Security ActSocial Security Act which is a tax paid by all workers that which is a tax paid by all workers that was used to pay pensions to retired was used to pay pensions to retired people.people.

Roosevelt’s New DealRoosevelt’s New Deal Another tax funded Another tax funded unemployment unemployment

insuranceinsurance – payments to people who – payments to people who lost their jobs.lost their jobs.

By the late 1930s, the economy had By the late 1930s, the economy had almost recovered.almost recovered.

Just as the domestic problems Just as the domestic problems seemed to be ending World War II seemed to be ending World War II began.began.