Causes of the Great Depression

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

• overproduction and underconsumption
• 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

Who was the President of the United States when the Stock Market crashed?

• Franklin D. Roosevelt
• Herbert Hoover
• Woodrow Wilson
• Theodore Roosevelt

Tags

CCSS.RL.7.9

CCSS.RL.8.9

Which of the following statements best describes what happened on Black Tuesday?

• 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 
• Buying on Credit 
• Overconsumption 

A way of borrowing money from a bank or finance company so that you can have what you want and pay for it later

• Speculation 
• Buying on Credit 
• Buying on Margin 
• Overproduction 

This is the idea that the rich become richer, while the poor become poorer

• Black Tuesday 
• Speculation 
• Unequal distribution of wealth
• Buying on Credit 

Tags

CCSS.RF.3.3B

CCSS.RF.3.3C

CCSS.RF.3.3D

CCSS.RF.4.3A

CCSS.RF.5.3A

This is making a very risky investment in the stock market, in hopes of earning a large profit

• Speculation 
• Buying on Margin 
• Bank Run 
• Bull Stock 

This cause led many businesses to close, because they were producing more goods than consumers were willing to buy.

• Overproduction 
• Underconsumption 
• Buying on Credit 
• Stock Speculation 

a type of credit in which a small down payment is followed by monthly payments

• bull market
• buying on margin
• installment buying
• consumer revolution

The demand for automobiles in the 1920s 

• stimulated growth in many other industries.
• led to a nationwide recession.
• closed down the steel industry.
• brought about the collapse of the surburbs.