The Great Depression Test

During the Stock Market crasch of 1929,

• investors quickly bought more stocks to ensure a profit.

• stock prices fell, causing billions of dollars to be lost.

• stores hired more employees to capitalize on consumer demand.

• banks loaned money to homeowners to cover their mortgages.

During the Stock Market crasch of 1929,

• investors quickly bought more stocks to ensure a profit.

• stock prices fell, causing billions of dollars to be lost.

• stores hired more employees to capitalize on consumer demand.

• banks loaned money to homeowners to cover their mortgages.

How did the stock market crash of 1929 contribute to the Great Depression?

• After the crash, wealthy people took the money they had and moved abroad.

• The crash left the economy too weak to overcome bigger challenges.

• The poor had invested heavily in the stock market and lost whatever money they had.

• Wall Street traders lost their jobs, creating massive unemployment.

What was the goal of the Bonus Army in 1932?

• to set up Hoovervilles

• to participate in an antiwar protest

• to lobby for legislation to get bonus pay early

• to gather for a World War I veterans’ reunion

Hoover established the Reconstruction Finance Corporation to

• establish new public works projects.

• provide relief to farmers.

• provide loans to businesses.

• regulate the banking industry.

What forced banks to close during the Great Depression?

• Huge amounts of inflation

• War in Europe

• Investors unable to pay loans and bank runs

• Not enough people invested in the Stock Market

Which TWO answers best describe President Herbert Hoover's presidency during the Great Depression?

• A very hands-on government

• Mostly hands-off government

• Largely unable to better economic conditions

• Created many New Deal programs

Who would lose money/their savings if the banks failed in the 1920s/30s?

• Speculators

• Big Business

• Everyone

• The working class

Which of the following is NOT one of the "Root Causes" of the Great Depression?

• Uneven distribution of income

• Credit and excessive debt

• Mistakes by the Federal Reserves (National Banks)

• WWI

People who could no longer afford their homes were forced to live in cardboard shacks that they built in public parks. What were these shacks called?

• Shantyshacks
• Town Homes
• Tenement Housing
• Hoovervilles