Causes of Great Depression

Which economic factor contributed most directly to the start of the Great Depression?

• low worker productivity
• high income taxes
• decreasing tariff rates
• buying stocks on margin

One cause of the Crash of 1929 was that many people only paid 10% down and took out loans for the rest of the stock they bought.  What was this called?

• Buy on Margin
• Speculation
• Hoodwink
• Stock Broker

After the Stock Market Crash, many people lost their life savings because ___________.

• banks closed for business
• banks gave away their money
• they couldn't remember where they put their money
• someone stole their money from the banks

Buying on "margin" refers to buying

• stocks
• household appliances
• automobiles
• homes

Most historians identify the beginning of the Great Depression as

• the 1929 Stock Market Crash
• The passage of the 21st Amendment
• The beginning of prohibition
• The Treaty of Versailles

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

• overproduction and buying on margin
• a decrease in the supply of consumer goods
• an increase in demand for imported products
• an increase in the price of wheat on the world market

What marked the start of the Great Depression in the United States?

• The Stock Market Crash

• World War I

• War World II

• The Dust Bowl

Buying on margin means you are buying _____ with borrowed money. 

• Cars
• Homes
• Stocks
• Food

The Great Depression was an economic slowdown in the 1920s and 1930s. Which of the following was one cause of the Great Depression in the United States?

• the high price of oil
• the end of the gold rush
• the ending of WWII
• the crash of the stock exchange (stock market)

Which was NOT a LONG-TERM cause of the Great Depression?

• Buying stock on margin
• Stock market crash (Black Tuesday)
• too much production and consumer spending
• Uneven distribution of Income