Chapter heat. The stock market crash that

Chapter 6 is based on the events that occurred after the First National Bank of Dalhart failed on June 27, 1931. During this period the weather was reaching unbearable degrees of heat. The stock market crash that occurred on Wall Street about 2 years earlier had finally reached the High Plains. A crowd of people formed outside the sheriff’s office demanding him to force the bank open. They wanted to know what happened to their money. The First National was broke and had used their clients’ personal savings to the last dime The nesters had been robbed by the bank. Doc Dawson was one of the people that had money in the bank. His health was becoming a problem, but he continued to work as a full-time farmer. His only hope was the land, but when the temperature reached 112 degrees, the fields looked very dry. Uncle Dick Coon was having trouble with the property he sold. The properties he had picked up were not paying rent. Businesses were not doing well at the time. People stopped buying cars, clothes, and even the basics. Oil fell from $1.43 a barrel to a dime. “The economy was a pool of glue”(93). The hotel business in Dalhart waa slowing down. People were no longer looking for a chance to make money in Dalhart.The Number 126 house was the only business in Dalhart doing well. John L. McCarty, an editor of the Texan , was angered by this and tried to publish an article exposing the business, but ultimately decided to pull the story because the printer would not allow him to publish it. By September 1929, over 1.5 million people were out of work and by February of the next year, the number tripled. President Hoover tried to convince everyone that the economy was not ill and that the American people had simply lost their confidence. He claimed that the worst effects of the crash would pass during the next sixty days. At the end of that year, eight million people were out of work and the banking system was in chaos. 1,350 banks failed with $853 million in deposits in 1930. In the next year 2,294 banks failed and the biggest fail came at the end of 1931 when the Bank of the United States collapsed. 12 million people were without jobs when the bank failed. In Dalhart, John McCarty was trying to keep his business alive by attempting to advertise through the other businesses in town. Over 28,000 businesses failed in 1931. Those who still had jobs saw their wages collapse by a third or more. The Herzstein’s lowered their prices to suit their customers, but they were also falling further behind with their bills. The picture on page 100 is of a failed bank in Kansas. On the High Plains wheat had come in once again at a record number, but it was met with the lowest price ever. “Every five bushels of wheat brought in from the fields was another dollar taken out of a farmer’s pocket”(102). The hot weather caused the land to harden and rivers to dry up.