L3+Conway,+Amelia

COLLEGE OF EDUCATION, HEALTH AND REHABILITATION LESSON PLAN FORMAT
 * UNIVERSITY OF MAINE AT FARMINGTON

Teacher’s Name:**Ms. Amelia Conway **Date of Lesson:** Empathy
 * Grade Level:** 10 **Topic:** The Great Depression- economy (change) over time

__**Objectives**__

 * Student will understand that:** (sequence of events) the Great Depression of 1929 was triggered by the Stock market Crash and the Smoot-Hawley Tariff. The Great Depression was a Global Depression. The recovery process began with the Gold Standard Act, monetary fixes, and FDR's "New Deal" (1&2). We are learning this because it relates to the economy and politics of today. For example, jobs in certain areas of government require knowledge of how the economy works, and how to keep it running smoothly. Also, it will be helpful to understand economic structure of America so you can keep up with what is being talked about on the news, tv shows, movies, and commercials that make reference to the economy.
 * Student will know: 20th Amendment, Fiscal and Monetary Policy, Brain Trust, Frances Perkins, Indian Reorganization Act, Buying on Margin, Bonus March, Dust Bowl. ** 
 * Student will be able to do:** (empathy) Students will consider the economy during the Great Depression, and how it changed as the Depression progressed.

__**Maine Learning Results Alignment**__
Grades 9-Diploma: Depression and New deal era (1929-1941) Students understand major eras, major enduring themes, and historic influences in United States and world history, including the roots of democratic philosophy, ideals, and institutions in the world. b. Analyze and Critique historical eras, major enduring themes, turning points, events, consequences, and people in the history of the United States and world and the implications for the present and future.// Rationale: Students will understand how the Great Depression came to be, and why, as well as what was involved in it. **
 * //E1 Social Studies-E. History: Knowledge,concepts, themes, and patterns.

__**Assessment**__
Students will use a [|flow chart] to organize the changes that occurred in the economic structure and order of America from 1918 to 1932. (co-op learning groups)Three-minute review- I will stop teaching part-way through the lesson, and students will break up into qroups and review what we have talked about so far during the class period. This will occur each day that we are working on lesson three. Each group will report out to the rest of the class about something they have learned from today's class. Each group will be expected to give a different example. Depending on the size of the class, we may go around the room several times.
 * Formative (Assessment for Learning)**

Students will complete a virtual simulation experience with a partner. The experience will be taking them through the Great Depression, and shows how the economy, and the country changed over time. After students have completed the simulation process, they will perform part of a WebQuest that allows them to take what they've learned and turn it into a budget preparation sheet. Each student will come up with their own [|budget sheet], however, they will be encouraged to help each other.
 * Summative (Assessment of Learning)**

__**Integration**__
Technology- Students will be using Second-Life to virtually tour the Great Depression. They will then participate in a small section of a Web Quest task that gives them a chance to use the Web to explore budget/planning options based on life in the 1920's and 30's. English- List formation, which should include proper grammar, spelling, and punctuation if necessary. Math- Students will be asked to create a budget as part of a Web Quest task.

__Groupings__
(co-op learning groups)Three-minute review- I will stop teaching part-way through the lesson, and students will break up into qroups and review what we have talked about so far during the class period. This will occur each day that we are working on lesson three. Also, the class will be split into small clusters during the large group discussion so the students can ask their group to clarify information. Groups will be arranged according to seasonal partners (spring).

__**Differentiated Instruction**__
 ****Interpersonal**- Students will participate in several group activities and class discussion. The group activity in this lesson is the 3-minute review.
 * Strategies
 * Intrapersonal**- Students have a chance to fill out KWL charts on their own, in order to reflect on their knowledge and understanding of the content so far.
 * Naturalist**- Students will be discussing how the Dust Bowl, which occurred during the Great Depression, was problematic in terms of crops/agricultural.
 * Visual**- Visual learners will benefit from the task we will be completing in the first 18 mins. of class (the hook). The board will be divided into two sections: America's Economy Now, and America's Economy Then, which will be helpful because we will be comparing and contrasting the two sides in a neutral section of the board.
 * Verbal**- Students will have a chance to listen to and contribute ideas to class discussion, and group conversation (3-min. review)
 * Logical**- The flow chart provided for students to organize the changes in the economy during the Great Depression gives logical thinkers a chance to understand through the organization of events/occurrences.

( //**I will review student’s IEP, 504 or ELLIDEP and make appropriate modifications and accommodations.**//)
 * Modifications/Accommodations**

When students are absent, they will be expected to come to the classroom and pick up their materials. Worksheets/handouts will be made available for students via folders set up for each lesson and each individual class. Students can ask myself and/or peers for information regarding the class discussion, in order to catch up. Also, I will allow for 7 mins. at the beginning of the first class following the absent student/s return to school, to work in groups and discuss the graphic organizers. Students will be using timelinemaker to create their own timelines digitally, by developing a graphic organizer first, and then then placing it into timeline formation. Doing this will ensure that students understand the sequence of events from the start of the Great Depression to to 2nd New Deal. This is because, students have to think about every event, and what each event is all about. Timelinemaker is a Type II technology because it is allowing students to interact using technology, and since they aren't just plotting points on the timeline it also becomes type II technology.
 * Absent Students**
 * Extensions**

__**Materials, Resources and Technology**__
Laptops, or Library access Second-Life software KWL Charts Flow Chart Blackboard or Chalktalk Paper Notebooks

[|U.S. Economy over the past few years] The U.S. economy has a lot of economic freedom. Over the past 20 years, economic freedom has expanded to even greater depths. Many reasons for having such a thriving economy include, rich resources, import/export capabilities, and employment opportunities (self/gov't jobs, local/state, etc). [|Fiscal policy] F iscal policy is the use of government spending and **[|taxation]** to influence the economy. When the government decides on the goods and services it purchases, the transfer payments it distributes, or the taxes it collects, it is engaging in fiscal policy. [|Monetary Policy] Monetary policies are demand-side macroeconomic policies. They work by stimulating or discouraging spending on goods and services. Economy-wide recessions and booms reflect fluctuations in aggregate demand rather than in the economy’s productive capacity. Monetary policy tries to damp, perhaps even eliminate, those fluctuations. It is not a supply-side instrument [|Economic Growth] This article discusses the many ways a country's economy can grow and flourish. The style of economy has a great impact on how stable it is, and limited restrictions on trade also help economies expand and thrive. [|Monetary and Fiscal policy as it applies to the US] Much of the history of economic policy in the United States since the Great Depression of the 1930s has involved a continuing effort by the government to find a mix of fiscal and monetary policies that will allow sustained growth and stable prices. That is no easy task, and there have been notable failures along the way. [|Frances Perkins] Fances Perkins was the Secretary of Labor for 12 years, under the Roosevelt Administration. She played a major role in redefining the job/employment structure during the Depression years. She strived to improve conditions for laborers in every job setting. She also worked to develop strong labor unions for workers across the country.
 * Resources**

[|FDR's Brain Trust] Political advisers with an expertise in a particular area of politics, economic strategy, or society that works to help the President make informed decisions based on their best knowledge of the subject.

[|Indian Reorganization Act of 1934] A government enacted program to allow American Indians the ability to take back some control over their land, people, and culture. It was a shotty attempt at reforming the Indian nation, after the Dawes Plan failed. [|Buying on Margin] The purchase of an asset by paying the margin and borrowing the balance from a bank or broker. Buying on margin refers to the initial or down payment made to the broker for the asset being purchased. [|Bonus March-Video] [|Bonus march-text] A march on Washington by 20,00 or more jobless Veterans who wanted to receive payment (war reparations) for their involvement in WW1. They wanted to collect their money earlier than originally planned, due to the economy going "down the tubes". [|Dust Bowl Video]

[|Dust Bowl text] This article discusses what farming was like in the 30's in mid-west America. With an already struggling economy, farmers depended on growth of their crops to support their families. However, the Dust Bowl that swept to middle-America caused farming to fail. Crops could not be grown, and when they started to grow they died off, causing even more hardships.

__Source for Lesson Plan and Research__
See Above

__**Maine Standards for Initial Teacher Certification and Rationale**__
Rationale:** This lesson demonstrates the above Maine Standard requirement by providing students with a way to actively learn how the economy changed throughout the course of the Great Depression. Students will also learn and understand how the economy has changed over the past 8-10 years. Every student will have the chance to share ways they have seen/read about economic changes have occurred throughout their life, and the impact those changes will make on the future economy. Students will be able to participate in class discussions regarding economic changes that have taken place, and will be asked to reflect on those changes in a variety of ways. Clipboards will benefit greatly from this lesson because we are moving in a very specific order, and they will be made aware of the agenda at the beginning of class because the agenda will be on the board. Puppies will enjoy this lesson because there are several opportunities to take part in group excercises, and they should feel comfortable to speak up during class discussions because of the classroom rules on respect. Students that fall into the category of Microscope learners will get plenty of opportunities to ask questions to peers and teacher in large and small group activities and discussion. Beach Ball learners can also succeed during this lesson because they are constantly given variety through visual, verbal, logical, and kinesthetic activities, as well as group and individual work and reflection.
 * //Standard 3 - Demonstrates a knowledge of the diverse ways in which students learn and develop by providing learning opportunities that support their intellectual, physical, emotional, social, and cultural development.//

Rationale:** A Pre-assessment will be given prior to instruction, and the beginning of this lesson. Doing so, will allow students the chance to show me what material they already know, and how well they know it. It will give me a starting point for teaching and and idea of ways to conduct class discussions, and where to start (what level). Students will be assessed on their prior knowledge of Monetary and Fiscal policy, Buying on Margin, The Dust Bowl, and FDR's Brain Trust through graphic organizers. I will leave feedback on the organizer to identify what students know, and what needs improvement. I will also restructure my teaching to ensure that the most important content is understood by students who have extra needs. This lesson reflects empathy because students are able to experience life in the shoes of individuals living during the Great depression through the use of Second-Life, and the partial Web-Quest Budget planning and poverty awareness activity.
 * //Standard 4 - Plans instruction based upon knowledge of subject matter, students, curriculum goals, and learning and development theory.//

Rationale:** Students with a variety of different needs will be met because I will use the below strategies, and ideas to constitute learning. As I find out more about each student learns, I will improve/tweak aspects of each learning style to better the understanding of the student/s. **Interpersonal-** Students will participate in several group activities and class discussion. The group activity in this lesson is the 3-minute review. Visual-** Visual learners will benefit from the task we will be completing in the first 18 mins. of class (the hook). The board will be divided into two sections: America's Economy Now, and America's Economy Then, which will be helpful because we will be comparing and contrasting the two sides in a neutral section of the board. The use of Type II technology comes in when the students use Second-life for the simulation activity, and when the do a partial WebQuest activity to experience the Great Depression Virtually. Rationale:** Students will meet this standard because they will be assed in two different ways, as shown below. Students will not be graded on the formative assessment, however, they will be graded on their budgets created after completing a partial webquest. Students will use a [|flow chart] to organize the changes that occurred in the economic structure and order of America from 1918 to 1932. (co-op learning groups)Three-minute review- I will stop teaching part-way through the lesson, and students will break up into qroups and review what we have talked about so far during the class period. This will occur each day that we are working on lesson three. Each group will report out to the rest of the class about something they have learned from today's class. Each group will be expected to give a different example. Depending on the size of the class, we may go around the room several times. Students will complete a virtual simulation experience with a partner. The experience will be taking them through the Great Depression, and shows how the economy, and the country changed over time. After students have completed the simulation process, they will perform part of a WebQuest that allows them to take what they've learned and turn it into a budget preparation sheet. Each student will come up with their own [|budget sheet], however, they will be encouraged to help each other.
 * //Standard 5 - Understands and uses a variety of instructional strategies and appropriate technology to meet students’ needs.//
 * Intrapersonal-** Students have a chance to fill out KWL charts on their own, in order to reflect on their knowledge and understanding of the content so far.
 * Naturalist-** Students will be discussing how the Dust Bowl, which occurred during the Great Depression, was problematic in terms of crops/agricultural**.
 * Verbal-** Students will have a chance to listen to and contribute ideas to class discussion, and group conversation (3-min. review)
 * Logical-** The flow chart provided for students to organize the changes in the economy during the Great Depression gives logical thinkers a chance to understand through the organization of events/occurrences.
 * Technology:**
 * //Standard 8 - Understands and uses a variety of formal and informal assessment strategies to evaluate and support the development of the learner.//
 * Formative Assessment**
 * Summative Assessment**

__Teaching and Learning Sequence__
The students will be arranged in a large circle, specific to group discussion. Students will be given color cards at the beginning of the class, and they will sit according to their color section within the circle for their mini discussion groups (graphic org.) Pairs will be formed out of those color groups later on when the timeline project is assigned.

(5 mins. composing list, 14mins. discussing the list-compare contrast, and video) Day two of this lesson will entail a discussion over FDR's Brain Trust, Monetary and Fiscal Policy, and The Dust Bowl with the purpose of discovering how each of those things were contributing factors in the running of/maintainence of a stable economic system, as well as how the Dust Bowl hindered economic development. The next thing students will do is work on their mini-WebQuest project for the remainder of class. Anything not finished during class time will become homework.
 * Hook- Students will be asked to think about what we have discussed so far in the previous 2 lessons, and compose a list on the board depicting how the economy changed throughout the course of the Great Depression. On the other half of the board, students will compose a list identifying examples of how the economy has changed over the past 8-10 years. We will then as a class go over the lists and compare and contrast the economy then and now. The day will start off by watching a brief video over the changes, before moving on to the discussion/board activity.
 * We will have a large group discussion regarding economic changes in America from 1918-1932. (15 mins.)
 * Students will do the three-minute-review (3 mins.)
 * Second-life simulation of the Great Depression (40 mins)
 * Pass out Web Quest project assignment sheet for students to read over for homework. We will discuss the actual assignment during the following class. (3 mins)

**Students will understand that:** (sequence of events) the Great Depression of 1929 was triggered by the Stock market Crash and the Smoot-Hawley Tariff. The Great Depression was a Global Depression. The recovery process began with the Gold Standard Act, monetary fixes, and FDR's "New Deal" (1&2). We are learning this because it relates to the economy and politics of today. For example, jobs in certain areas of government require knowledge of how the economy works, and how to keep it running smoothly. Also, it will be helpful to understand economic structure of America so you can keep up with what is being talked about on the news, tv shows, movies, and commercials that make reference to the economy. Students will understand major eras, enduring themes, and historical influences in the U.S. and World history, including roots of democratic philosophy, ideals, and institutions in the World. Students will be asked to think about what we have discussed so far in the previous 2 lessons, and compose a list on the board depicting how the economy changed throughout the course of the Great Depression. On the other half of the board, students will compose a list identifying examples of how the economy has changed over the past 8-10 years. We will then as a class go over the lists and compare and contrast the economy then and now.
 * Where, What, Why, Hook, Tailors: Interpersonal, Verbal, Visual

 ****Students will know:** 20th Amendment, Fiscal and Monetary Policy, Brain Trust, Frances Perkins, Indian Reorganization Act, Buying on Margin, Bonus March, Dust Bowl. Students will use a [|flow chart] to organize the changes that occurred in the economic structure and order of America from 1918 to 1932. Each group will report out to the rest of the class about something they have learned from today's class. Each group will be expected to give a different example. Depending on the size of the class, we may go around the room several times.
 * Equip, Explore, Rethink, Tailors: Inter/Intrapersonal, Verbal, Visual, Logical, Naturalist**

Students will use a [|flow chart] to organize the changes that occurred in the economic structure and order of America from 1918 to 1932. (co-op learning groups)Three-minute review- I will stop teaching part-way through the lesson, and students will break up into qroups and review what we have talked about so far during the class period. This will occur each day that we are working on lesson three. Each group will report out to the rest of the class about something they have learned from today's class. Each group will be expected to give a different example. Depending on the size of the class, we may go around the room several times.I will provide clarifying information to the students following the discussion. Students will have a second chance to ask the teacher questions about the information she clarified.
 * Explore, Experience, Rethink, Revise, Refine, Tailors: Verbal, Inter/Intrapersonal, Logical, Naturalist**

Students will fill out and pass in a [|KWL] chart regarding the information from lesson 3. I will leave feedback on the chart.Three-minute review- I will stop teaching part-way through the lesson, and students will break up into qroups and review what we have talked about so far during the class period. This will occur each day that we are working on lesson three. Each group will report out to the rest of the class about something they have learned from today's class. Each group will be expected to give a different example. Depending on the size of the class, we may go around the room several times. The students will be asked to complete a budget planning activity (partial webquest), and a simulation program in order to meet the facet of understanding that is EMPATHY.
 * Evaluate, Tailors: Intra/Interpersonal, Logical,**

[|U.S. Economy overtime] In the United States, the [|corporation] has emerged as an association of owners, known as stockholders, who form a business enterprise governed by a complex set of rules and customs. Brought on by the process of [|mass production], corporations, such as [|General Electric] , have been instrumental in shaping the United States. Through the [|stock market], American banks and investors have grown their economy by investing and withdrawing capital from profitable corporations. Today in the era of [|globalization], American investors and corporations have influence all over the world. The American government has also been instrumental in investing in the economy, in areas such as providing cheap electricity (such as from the [|Hoover Dam] ), and military contracts in times of war. While consumers and producers make most decisions that mold the economy, government has a powerful effect on the U.S. economy in at least four areas, as the government uses a capitalist system. Strong government regulation in the U.S. economy started in the early 1900s with the rise of the [|Progressive Movement] ; prior to this the government promoted economic growth through protective tariffs and subsidies to industry, built infrastructure, and established banking policies, including the gold standard, to encourage savings and investment in productive enterprises. On June 26, 2009, Jeff Immelt, the CEO of General Electric, called for the United States to increase its manufacturing base employment to 20% of the workforce, commenting that the U.S. has outsourced too much in some areas and can no longer rely on the financial sector and consumer spending to drive demand. [|Fiscal Policy] Fiscal policy is the use of government spending and [|taxation] to influence the economy. When the government decides on the goods and services it purchases, the transfer payments it distributes, or the taxes it collects, it is engaging in fiscal policy. The primary economic impact of any change in the government budget is felt by particular groups—a tax cut for families with children, for example, raises their disposable income. Discussions of fiscal policy, however, generally focus on the effect of changes in the government budget on the overall economy. Although changes in taxes or spending that are “revenue neutral” may be construed as fiscal policy—and may affect the aggregate level of output by changing the incentives that firms or individuals face—the term “fiscal policy” is usually used to describe the effect on the aggregate economy of the overall levels of spending and taxation, and more particularly, the gap between them. Fiscal policy is said to be tight or contractionary when revenue is higher than spending (i.e., the government budget is in surplus) and loose or expansionary when spending is higher than revenue. [|Monetary Policy]
 * Content Notes**

Monetary policy refers to how the [|Federal Reserve] uses interest rates and the money supply to guide economic growth. The Fed generally uses the [|Fed Funds Rate] to impact all other interest rates, including bank loan rates and mortgage rates. The Fed can also use [|other tools] to increase the supply of money in the economy. The Fed's primary mandate is to manage [|inflation]. The Fed reduces inflation by raising the Fed Funds rate or decreasing the money supply. This is known as [|contractionary monetary policy]. However, the Fed must be careful not to tip the economy into [|recession]. To avoid recession, and the resultant unemployment, the Fed must lower the Fed Funds rate and increase the money supply. This is known as [|expansionary monetary policy]. Examples: The Fed must use monetary policy to offset the Federal Government's expansionary [|fiscal policy]. [|Economic Growth]

People are reasonably good at forming estimates based on addition, but for operations such as compounding that depend on repeated multiplication, we systematically underestimate how quickly things grow. As a result, we often lose sight of how important the average rate of growth is for an economy. For an investment banker, the choice between a payment that doubles with every square on the chessboard and one that doubles with every other square is more important than any other part of the contract. Who cares whether the payment is in pennies, pounds, or pesos? For a nation, the choices that determine whether income doubles with every generation, or instead with every other generation, dwarf all other economic policy concerns. Growth in Income per Capita You can figure out how long it takes for something to double by dividing the growth rate into the number 72. In the twenty-five years between 1950 and 1975, income per capita in India grew at the rate of 1.8 percent per year. At this rate, income doubles every forty years because 72 divided by 1.8 equals 40. In the twenty-five years between 1975 and 2000, income per capita in China grew at almost 6 percent per year. At this rate, income doubles every twelve years. These differences in doubling times have huge effects for a nation, just as they do for our banker. In the same forty-year time span that it would take the Indian economy to double at its slower growth rate, income would double three times—to eight times its initial level—at China’s faster growth rate. From 1950 to 2000, growth in income per capita in the United States lay between these two extremes, averaging 2.3 percent per year. From 1950 to 1975, India, which started at a level of income per capita that was less than 7 percent of that in the United States, was falling even farther behind. Between 1975 and 2000, China, which started at an even lower level, was catching up. China grew so quickly partly because it started so far behind. Rapid growth could be achieved in large part by letting firms bring in ideas about how to create value that were already in use in the rest of the world. The interesting question is why India could not manage the same trick, at least between 1950 and 1975. Growth and Recipes Economic growth occurs whenever people take resources and rearrange them in ways that make them more valuable. A useful metaphor for production in an economy comes from the kitchen. To create valuable final products, we mix inexpensive ingredients together according to a recipe. The cooking one can do is limited by the [|supply] of ingredients, and most cooking in the economy produces undesirable side effects. If economic growth could be achieved only by doing more and more of the same kind of cooking, we would eventually run out of raw materials and suffer from unacceptable levels of pollution and nuisance. Human history teaches us, however, that economic growth springs from better recipes, not just from more cooking. New recipes generally produce fewer unpleasant side effects and generate more economic value per unit of raw material (see [|natural resources] ). Take one small example. In most coffee shops, you can now use the same size lid for small, medium, and large cups of coffee. That was not true as recently as 1995. That small change in the geometry of the cups means that a coffee shop can serve customers at lower cost. Store owners need to manage the inventory for only one type of lid. Employees can replenish supplies more quickly throughout the day. Customers can get their coffee just a bit faster. Although big discoveries such as the transistor, antibiotics, and the electric motor attract most of the attention, it takes millions of little discoveries like the new design for the cup and lid to double a nation’s average income. Every generation has perceived the limits to growth that finite resources and undesirable side effects would pose if no new recipes or ideas were discovered. And every generation has underestimated the potential for finding new recipes and ideas. We consistently fail to grasp how many ideas remain to be discovered. The difficulty is the same one we have with compounding: possibilities do not merely add up; they multiply. [|Monetary and Fiscal Policy as it applies to the U.S.]

The role of government in the American economy extends far beyond its activities as a regulator of specific industries. The government also manages the overall pace of economic activity, seeking to maintain high levels of employment and stable prices. It has two main tools for achieving these objectives: fiscal policy, through which it determines the appropriate level of taxes and spending; and monetary policy, through which it manages the supply of money. Much of the history of economic policy in the United States since the Great Depression of the 1930s has involved a continuing effort by the government to find a mix of fiscal and monetary policies that will allow sustained growth and stable prices. That is no easy task, and there have been notable failures along the way. But the government has gotten better at promoting sustainable growth. From 1854 through 1919, the American economy spent almost as much time contracting as it did growing: the average economic expansion (defined as an increase in output of goods and services) lasted 27 months, while the average recession (a period of declining output) lasted 22 months. From 1919 to 1945, the record improved, with the average expansion lasting 35 months and the average recession lasting 18 months. And from 1945 to 1991, things got even better, with the average expansion lasting 50 months and the average recession lasting just 11 months. In the 1930s, with the United States reeling from the Great Depression, the government began to use fiscal policy not just to support itself or pursue social policies but to promote overall economic growth and stability as well. Policy-makers were influenced by John Maynard Keynes, an English economist who argued in The General Theory of Employment, Interest, and Money (1936) that the rampant joblessness of his time resulted from inadequate demand for goods and services. According to Keynes, people did not have enough income to buy everything the economy could produce, so prices fell and companies lost money or went bankrupt. Without government intervention, Keynes said, this could become a vicious cycle. As more companies went bankrupt, he argued, more people would lose their jobs, making income fall further and leading yet more companies to fail in a frightening downward spiral. Keynes argued that government could halt the decline by increasing spending on its own or by cutting taxes. Either way, incomes would rise, people would spend more, and the economy could start growing again. If the government had to run up a deficit to achieve this purpose, so be it, Keynes said. In his view, the alternative -- deepening economic decline -- would be worse. Keynes's ideas were only partially accepted during the 1930s, but the huge boom in military spending during World War II seemed to confirm his theories. As government spending surged, people's incomes rose, factories again operated at full capacity, and the hardships of the Depression faded into memory. After the war, the economy continued to be fueled by pent-up demand from families who had deferred buying homes and starting families. By the 1960s, policy-makers seemed wedded to Keynesian theories. But in retrospect, most Americans agree, the government then made a series of mistakes in the economic policy arena that eventually led to a reexamination of fiscal policy. While many Americans saw this "stagflation" as evidence that Keynesian economics did not work, another factor further reduced the government's ability to use fiscal policy to manage the economy. Deficits now seemed to be a permanent part of the fiscal scene. Deficits had emerged as a concern during the stagnant 1970s. Then, in the 1980s, they grew further as President Ronald Reagan (1981-1989) pursued a program of tax cuts and increased military spending. By 1986, the deficit had swelled to $221,000 million, or more than 22 percent of total federal spending. Now, even if the government wanted to pursue spending or tax policies to bolster demand, the deficit made such a strategy unthinkable. While the budget remained enormously important, the job of managing the overall economy shifted substantially from fiscal policy to monetary policy during the later years of the 20th century. Monetary policy is the province of the Federal Reserve System, an independent U.S. government agency. "The Fed," as it is commonly known, includes 12 regional Federal Reserve Banks and 25 Federal Reserve Bank branches. All nationally chartered commercial banks are required by law to be members of the Federal Reserve System; membership is optional for state-chartered banks. In general, a bank that is a member of the Federal Reserve System uses the Reserve Bank in its region in the same way that a person uses a bank in his or her community. The Federal Reserve Board of Governors administers the Federal Reserve System. It has seven members, who are appointed by the president to serve overlapping 14-year terms. Its most important monetary policy decisions are made by the Federal Open Market Committee (FOMC), which consists of the seven governors, the president of the Federal Reserve Bank of New York, and presidents of four other Federal Reserve banks who serve on a rotating basis. Although the Federal Reserve System periodically must report on its actions to Congress, the governors are, by law, independent from Congress and the president. Reinforcing this independence, the Fed conducts its most important policy discussions in private and often discloses them only after a period of time has passed. It also raises all of its own operating expenses from investment income and fees for its own services. The Federal Reserve has three main tools for maintaining control over the supply of money and credit in the economy. The most important is known as open market operations, or the buying and selling of government securities. To increase the supply of money, the Federal Reserve buys government securities from banks, other businesses, or individuals, paying for them with a check (a new source of money that it prints); when the Fed's checks are deposited in banks, they create new reserves -- a portion of which banks can lend or invest, thereby increasing the amount of money in circulation. On the other hand, if the Fed wishes to reduce the money supply, it sells government securities to banks, collecting reserves from them. Because they have lower reserves, banks must reduce their lending, and the money supply drops accordingly. The Fed also can control the money supply by specifying what reserves deposit-taking institutions must set aside either as currency in their vaults or as deposits at their regional Reserve Banks. Raising reserve requirements forces banks to withhold a larger portion of their funds, thereby reducing the money supply, while lowering requirements works the opposite way to increase the money supply. Banks often lend each other money over night to meet their reserve requirements. The rate on such loans, known as the "federal funds rate," is a key gauge of how "tight" or "loose" monetary policy is at a given moment. The Fed's third tool is the discount rate, or the interest rate that commercial banks pay to borrow funds from Reserve Banks. By raising or lowering the discount rate, the Fed can promote or discourage borrowing and thus alter the amount of revenue available to banks for making loans. These tools allow the Federal Reserve to expand or contract the amount of money and credit in the U.S. economy. If the money supply rises, credit is said to be loose. In this situation, interest rates tend to drop, business spending and consumer spending tend to rise, and employment increases; if the economy already is operating near its full capacity, too much money can lead to inflation, or a decline in the value of the dollar. When the money supply contracts, on the other hand, credit is tight. In this situation, interest rates tend to rise, spending levels off or declines, and inflation abates; if the economy is operating below its capacity, tight money can lead to rising unemployment. [|Frances Perkins] Frances Perkins (1882-1965), American social reformer, who became the first female member of the Cabinet when United States President Franklin D. Roosevelt named her secretary of labor in 1933. In her various positions, Perkins defended the interests of working people, and advocated social security, unemployment compensation, minimum wage and maximum hours, and child welfare legislation. She was a member of the New York State Industrial Board from 1923 to 1926 and its chairperson from 1926 to 1929. In 1929 Roosevelt, then governor of New York, appointed her state industrial commissioner. As secretary of labor, Perkins became one of the most important executors of Roosevelt's New Deal program. She resigned the position in June 1945, two months after Roosevelt's death, and in the following year was appointed a member of the U.S. Civil Service Commission, on which she served until 1953. [|FDR's Brain Trust]

Brain trust began as a term for a group of close advisors to a political candidate or incumbent, prized for their expertise in particular fields.The core of the first Roosevelt brain trust consisted of a group of Columbia law professors (Moley, Tugwell, and Berle). These men played a key role in shaping the policies of the First [|New Deal] (1933). Although they never met together as a group, they each had Roosevelt's ear. Many newspaper editorials and editorial cartoons ridiculed them as impractical idealists.The core of the second Roosevelt brain trust sprang from men associated with the Harvard law school (Cohen, Corcoran, and Frankfurter). These men played a key role in shaping the policies of the Second New Deal (1935-1936). Members [|Adolf Berle] - original Brain Trust [|Benjamin V. Cohen] - 2nd New Deal [|Thomas Gardiner Corcoran] - 2nd New Deal [|Felix Frankfurter] - 2nd New Deal [|Louis Howe] * [|Raymond Moley] - original Brain Trust (Moley broke with Roosevelt and became a sharp critic of the [|New Deal] from the right) [|Basil O'Connor] [|George Peek] [|Charles William Taussig] [|Rexford Tugwell] - original Brain Trust [|Hugh S. Johnson] [|Napoleon Hill] [|F. Palmer Weber] [|James Warburg] - original Brain Trust [|Indian Reorganization Act] (June 18, 1934), measure enacted by the U.S. Congress, aimed at decreasing federal control of [|American Indian] affairs and increasing Indian self-government and responsibility. In gratitude for the Indians’ services to the country in [|World War I], Congress in 1924 authorized the Meriam Survey of the state of life on the reservations. The shocking conditions under the regimen established by the [|Dawes General Allotment Act] (1887), as detailed in the Meriam report of 1928, spurred demands for reform. Many of the Meriam report’s recommendations for reform were incorporated in the Indian Reorganization Act. The act curtailed the future allotment of tribal communal lands to individuals and provided for the return of surplus lands to the tribes rather than to homesteaders. It also encouraged written constitutions and charters giving Indians the power to manage their internal affairs. Finally, funds were authorized for the establishment of a [|revolving credit] program for tribal land purchases, for educational assistance, and for aiding tribal organization. About 160 tribes or villages adopted written constitutions under the act’s provisions. Through the revolving credit fund, many Indians improved their economic position. With the funds for purchase of land, millions of additional acres were added to the reservations. Greatly improved staffs and services were provided in health and education, with more than half of all Indian children in public school by 1950. The act awakened a wider interest in civic affairs, and Indians began asking for the franchise, which they had been technically granted in 1924. The Reorganization Act remains the basis of federal legislation concerning Indian affairs. The act’s basic aims were reinforced in the 1960s and ’70s by the further transfer of administrative responsibility for reservation services to the Indians themselves, who continued to depend on the federal government to finance those services. [|Buying on Margin] What Does Buying On Margin Mean? The purchase of an asset by paying the margin and borrowing the balance from a bank or broker. Buying on margin refers to the initial or down payment made to the broker for the asset being purchased. The collateral for the funds being borrowed is the marginable securities in the investor’s account. Before buying on margin, an investor needs to open a [|margin account] with the broker. In the U.S., the amount of margin that must be paid for a security is regulated by the Federal Reserve Board. [|Bonus March-Video] [|Bonus March-Text]

By frieght train, on foot, and in commandeered trucks, thousands of unemployed veterans descended on a nervous capital at the depth of the Depression—and were run out of town by Army bayonets By JOHN D. WEAVER In the late spring of 1932 some 20,000 jobless World War veterans, many with their wives and children, descended on Washington, dumping the Depression on the doorstep of the Capitol and the White House. Two months later, when they had overstayed their grudging welcome, they were driven out of the city. The crimson glow of their burning camps had hardly faded from the midnight sky before a dispute arose as to who these people were, why they had come to the capital, and under what circumstances they had been expelled. After a generation of impassioned and often inaccurate oratory, the Bonus March remains one of the most controversial and grotesquely distorted episodes of recent American history. [|Dust Bowl- Video] [|Dust Bowl-Text]

The most visible evidence of how dry the 1930s became was the dust storm. Tons of topsoil were blown off barren fields and carried in storm clouds for hundreds of miles. Technically, the driest region of the Plains – southeastern Colorado, southwest Kansas and the panhandles of Oklahoma and Texas – became known as the Dust Bowl, and many dust storms started there. But the entire region, and eventually the entire country, was affected.

The Dust Bowl got its name after Black Sunday, April 14, 1935. More and more dust storms had been blowing up in the years leading up to that day. In 1932, 14 dust storms were recorded on the Plains. In 1933, there were 38 storms. By 1934, it was estimated that 100 million acres of farmland had lost all or most of the topsoil to the winds. By April 1935, there had been weeks of dust storms, but the cloud that appeared on the horizon that Sunday was the worst. Winds were clocked at 60 mph. Then it hit. "The impact is like a shovelful of fine sand flung against the face," Avis D. Carlson wrote in a New Republic article. "People caught in their own yards grope for the doorstep. Cars come to a standstill, for no light in the world can penetrate that swirling murk... We live with the dust, eat it, sleep with it, watch it strip us of possessions and the hope of possessions. It is becoming Real." The day after Black Sunday, an Associated Press reporter used the term "Dust Bowl" for the first time. "Three little words achingly familiar on the Western farmer's tongue, rule life in the dust bowl of the continent – if it rains." The term stuck and was used by radio reporters and writers, in private letters and public speeches. In the central and northern plains, dust was everywhere. The impact of the Dust Bowl was felt all over the U.S. During the same April as Black Sunday, 1935, one of FDR's advisors, Hugh Hammond Bennett, was in Washington D.C. on his way to testify before Congress about the need for [|soil conservation legislation]. A dust storm arrived in Washington all the way from the Great Plains. As a dusty gloom spread over the nation's capital and blotted out the sun, Bennett explained, "This, gentlemen, is what I have been talking about." Congress passed the Soil Conservation Act that same year. The impact of the Dust Bowl was felt all over the U.S. During the same April as Black Sunday, 1935, one of FDR's advisors, Hugh Hammond Bennett, was in Washington D.C. on his way to testify before Congress about the need for [|soil conservation legislation]. A dust storm arrived in Washington all the way from the Great Plains. As a dusty gloom spread over the nation's capital and blotted out the sun, Bennett explained, "This, gentlemen, is what I have been talking about." Congress passed the Soil Conservation Act that same year. (Click on link for additional links, and videos-agriculture)

KWL Chart Flow Chart Information page about how to use [|Second-Life] Information on the End-of-Lesson Project (attached) Checklist for partial WebQuest products (attached)
 * Handouts**