History Notes Ch. 2.1 2.2 2.3 2.5 TW2 Y3
2.1
● efore WWI u.s.a became the richest country in the world
B
● 1928: americans: optimistic
● President Hoover promised that poverty would be erased
● In the roaring twenties: industrial capitalism flourished, thanks to
growing electrical industries.
● Production became efficient, cheaper and faster
● Increased demand for new products
● Black thursday:
There was a huge rise in stocks.
Many Americans thus decided to buy stock, a lot of it, believing it
would go even higher, often using loaned money.
On black thursday, 24\10\1929, the stock prices fell!
Due to the stock market collapsing, banks demanded the money
they loaned back or an additional collateral.
People did not have that money, and so - they all tried to sell their
stocks’ to be able to pay the banks.
On black Tuesday, 29\10\1929 the stock market fully collapsed.
That led to a situation where most people try to sell, and not buy.
Thus, all of the values go down.
That causes companies to lose their value and money.
Therefore, they fire people.
Because people are fired, they do not have the money to pay the
banks, and thus more people have to sell!
This is a vicious cycle.
● President Hoover believed the economic crisis would pass on its
own.
● Maybe because of that approach, his party lost the 1932 election.
● Franklin Delano Roosevelt won that election. His new approach was
calledThe New Deal.That meant the government wouldhelp more,
by giving governmental financial support, and the government
purchasing products (such as dairy and cotton) for higher prices.
, he government also supervised the banks. More rights were given,
T
wages and working hours were improved.
By 1938, the economy improved by the crisis wasn’t gone yet - with
●
9 million unemployed.
● The crisis in America was only gone with WWII.
2.2
● P eople in Italy were scared that a communist revolution would start
● Mussolini formed the Nationale Fascistische Partij, presented
himself as the person who would save the country
● His ideas were anti democratic, violent, nationalistic and
totalitarian, and fascist. He believed that the government should
have complete control over society.
● He wanted to dominate the Mediterranean, and believed the
country should be led by a single, powerful leader: or as he called
himself, a duce.
● In 1922, due to Mussolini’s threats, the king appointed him prime
minister, to the agreement of many politicians.
● Later, he terrorized and banned his opponents.
● Italy became a dictatorship, under Mussolini.
● He spread propaganda (Ex. married couples should have many kids)
through radios, newspapers, and films.
● Anyone who criticized Mussolini or did not join his “personality cult
and ideology” would be punished, for example be banished to an
island.
● In the soviet union, 1924 Stalin became the new dictator
● After the civil war, small businesses regained some freedom
● Hunger disappeared
● Stalin thought industrialization wasn’t happening fast enough, and
thus in 1928 began a five year plan in which the government
determined what would be produced.
● More five year plants followed later
● Stalin put an end to independent farms, and instead had collective
farms
2.1
● efore WWI u.s.a became the richest country in the world
B
● 1928: americans: optimistic
● President Hoover promised that poverty would be erased
● In the roaring twenties: industrial capitalism flourished, thanks to
growing electrical industries.
● Production became efficient, cheaper and faster
● Increased demand for new products
● Black thursday:
There was a huge rise in stocks.
Many Americans thus decided to buy stock, a lot of it, believing it
would go even higher, often using loaned money.
On black thursday, 24\10\1929, the stock prices fell!
Due to the stock market collapsing, banks demanded the money
they loaned back or an additional collateral.
People did not have that money, and so - they all tried to sell their
stocks’ to be able to pay the banks.
On black Tuesday, 29\10\1929 the stock market fully collapsed.
That led to a situation where most people try to sell, and not buy.
Thus, all of the values go down.
That causes companies to lose their value and money.
Therefore, they fire people.
Because people are fired, they do not have the money to pay the
banks, and thus more people have to sell!
This is a vicious cycle.
● President Hoover believed the economic crisis would pass on its
own.
● Maybe because of that approach, his party lost the 1932 election.
● Franklin Delano Roosevelt won that election. His new approach was
calledThe New Deal.That meant the government wouldhelp more,
by giving governmental financial support, and the government
purchasing products (such as dairy and cotton) for higher prices.
, he government also supervised the banks. More rights were given,
T
wages and working hours were improved.
By 1938, the economy improved by the crisis wasn’t gone yet - with
●
9 million unemployed.
● The crisis in America was only gone with WWII.
2.2
● P eople in Italy were scared that a communist revolution would start
● Mussolini formed the Nationale Fascistische Partij, presented
himself as the person who would save the country
● His ideas were anti democratic, violent, nationalistic and
totalitarian, and fascist. He believed that the government should
have complete control over society.
● He wanted to dominate the Mediterranean, and believed the
country should be led by a single, powerful leader: or as he called
himself, a duce.
● In 1922, due to Mussolini’s threats, the king appointed him prime
minister, to the agreement of many politicians.
● Later, he terrorized and banned his opponents.
● Italy became a dictatorship, under Mussolini.
● He spread propaganda (Ex. married couples should have many kids)
through radios, newspapers, and films.
● Anyone who criticized Mussolini or did not join his “personality cult
and ideology” would be punished, for example be banished to an
island.
● In the soviet union, 1924 Stalin became the new dictator
● After the civil war, small businesses regained some freedom
● Hunger disappeared
● Stalin thought industrialization wasn’t happening fast enough, and
thus in 1928 began a five year plan in which the government
determined what would be produced.
● More five year plants followed later
● Stalin put an end to independent farms, and instead had collective
farms
