In 1929 the stock market crashed. During the early part of the 1930's economic hardship haunted the nation. Millions were unemployed following the collapse of most banks. Natural disasters struck the Midwest and began the period know as the dustbowl. All of these conditions added up to worsen the already hurt economy.

The Great Depression started with the stock market crash of 1929 and lasted until the outbreak of World War II. Almost one-third of Americans had no jobs. All the backs had gone out of business. People lived in huge shantytowns in filth and squalor. They waited in line to get old bread. People even jumped out of buildings when they saw all their money was lost. People began to stop believing in the American dream. There were still some that were rich. A few elite who became despised by Americans. A few people who had escaped with their wealth, but most lost it all.

The newly elected President Roosevelt created the New Deal to help fix the American economy. His thinking was that by creating public works projects with federal money would boost the economy by giving people jobs and improving the infrastructure of The United States. Agencies like the NRA (national recovery agency) would in his mind help the economy. Many famous structures like the Hoover Damn were creating from the New Deal. Large projects like the TVA (Tennessee Valley Authority) created a link of damns and hydroelectric plants to stop flooding and to provide electricity. There is some debate to whether these programs helped the economy or not, but many people who lived during the depression and worked on these projects thanked President Roosevelt, because with out it in their opinion they wouldn't of gotten any work. Also in the New deal it stressed emphasizing the arts and it also protected union rights.