Great Depression and New Deal

Which of the following was a major cause of the Great Depression?

• overproduction and less consumer spending

• a decrease in the supply of consumer goods

• an increase in demand for imported products

• an increase in the price of agricultural products

What effect did the Great Depression have on the American economy?

• It led to high unemployment and underproduction.

• It brougth about large business investments and low taxes.

• It created too much money in cirulation and high stock prices.

• It increased employment and real estate vaules

Which of the following was NOT a cause of the Great Depression?

• overproduction

• banking system and stock market

• rise of consumer savings

• restricted international trade

What happened to a large number of the banks in the United States during this time period?

• banks stayed open

• banks were shut down

• banks had to pay a fine

• banks were destroyed by riots

Which of the following statements best describes what happened on Black Tuesday (Oct. 29, 1929)?

• Stock prices fell and the stock market crashed.

• Bank runs forced many banks to close their doors.

• Federal troops attacked the Bonus Army marchers.

• The Supreme Court ruled that the NRA was unconstitutional.

This is the process of taking money borrowed from the bank or a broker, and putting it into the stock market

• Buying on Margin

• Speculation

• Installments

• Overconsumption

When Roosevelt took office, what was the unemployment rate?

• 25%
• 50%
• 75%
• 100%

What was FDR's goal in creating the Securities and Exchange Commission (SEC) and the Federal Deposit Insurance Corporation (FDIC)?

• stimulate economic growth
• increase the government's tax revenue
• provide jobs for the unemployed
• restore the public's faith in financial institutions

Which region of the US suffered the most from the Dust Bowl?

• Southwest
• Pacific Northwest
• Rocky Mountains
• Great Plains

What was the outcome of the US government's use of high tariffs?

• World government lowered their tariffs and this kick-starter the economy.

• The high tariffs protected the US economy and made the depression better.

• It was quickly reduced and brought them out of the depression

• They reduced international trade and made the Great Depression worse.