U1S1 Quiz Causes of the Great Depression

What were the main causes of Americans buying less in the late 1920s?

• Availability of easy credit, rising prices, stagnant wages, and overbuying on credit

• Rising prices, stagnant wages, unbalanced distribution of income, and overbuying on credit

• Uneven distribution of wealth, crisis in the farm sector, taxes and war debt policies, and overbuying on credit

• Availability of easy credit, unequal distribution of wealth, crisis in the farm sector, and taxes and war debt policies

What was the main reason for Americans living beyond their means in the 1920s?

• They often purchased goods on credit - buy now, pay later - which was in the form of installment plans

• Many businesses encouraged Americans to pile up a large consumer debt

• None of the above

• Both of the above

What was the income difference between the wealthiest 1 percent and Americans as a whole in the 1920s?

• The income of the wealthiest 1 percent rose by 9 percent, compared with a 75 percent increase for Americans as a whole

• The income of the wealthiest 1 percent remained the same, while Americans as a whole had a 9 percent increase

• The income of the wealthiest 1 percent rose by 75 percent, compared with a 9 percent increase for Americans as a whole

• The income of the wealthiest 1 percent rose by 50 percent, compared with a 50 percent increase for Americans as a whole

Which industries were in trouble during the late 1920s?

• Railroads, textiles, and steel

• None of the above

• Mining and lumbering

• Both of the above

What was one important economic indicator that declined during the late 1920s?

• Housing

• Mining

• Lumbering

• Furniture manufacturing

What happened to agriculture after World War I?

• Prices remained the same and demand for crops stayed constant

• Prices rose, but demand for crops decreased

• Prices rose and international demand for crops soared

• Prices fell sharply and demand for crops decreased

What did Congress attempt to do to help farmers during the Great Depression?

• Both of the above

• None of the above

• Pass legislation that would have created guaranteed prices for certain crops

• Provide loans to farmers to pay off their debts

Who was the President of the United States during the Great Depression?

• Warren G. Harding

• Calvin Coolidge

• Herbert Hoover

• Franklin D. Roosevelt

What event is known as Black Tuesday?

• The start of the Great Depression

• The election of Herbert Hoover

• The stock market crash

• The passing of legislation to help farmers

What happened to banks during the Great Depression?

• Many banks closed and people lost their savings

• None of the above

• Banks invested in the stock market and couldn't get their money back

• Both of the above