Great Depression - Economy

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.

Which of the following accurately describes how foreign policy contributed to the Great Depression?

• German aggression threatened war, causing massive military buildups and draining treasuries

• European factories produced automobiles, challenging American manufacturing dominance.

• American tariffs slowed global trade by reducing exports, harming worldwide economies.

• South American sugar producers slowed production, straining worldwide supply chains.

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

How did an economic recession help cause the Great Depression?

• Americans bought less, causing less demand for goods

• Bank runs caused depositors to withdraw all their money from banks

• The market bubble popped, crashing Wall Street

• Low interest rates encouraged risky speculation

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

Who was president when the stock market crashed?

• Theodore Roosevelt

• Woodrow Wilson

• Herbert Hoover

• Franklin Delano Roosevelt

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