Unit 6 : The Great Depression Test review

Which economic policy benefited big business during the 1920s?

• laissez faire capitalism

• deficit spending

• government regulation

• progressivism

What was the effect of the “easy credit” and installment plans offered by businesses during the 1920s?

• increased consumer spending

• a decline in the purchase of household goods

• a drop in factory orders

• rising prosperity for farmers in the South and West

What was the cause of the Stock Market Crash of 1929?

• widespread bank failures

• excessive federal regulation

• increased consumer spending

• buying on margin and excessive speculation

Which was a factor that might have led to the Great Depression?

• increasing federal budget deficits

• overproduction and high tariffs

• jazz

• rising wages

Which describes Herbert Hoover’s response to the Great Depression?

• relying on the charity of foreign nations

• promoting voluntary cooperation

• asking Congress to raise income taxes

• providing direct relief to the needy

What did the growth of “Hoovervilles,” soup kitchens, and bread lines represent during the early 1930s?

• efforts by the Hoover administration to provide direct relief

• the success of rugged individualism

• increasing unemployment, homelessness, and hunger

• more jobs and economic growth

Who was most directly affected by the Dust Bowl?

• farmers

• bankers

• labor unions

• veterans

What was the Dust Bowl?

• a decade of severe drought during the 1930’s

• a big dust storm in New York

• economic decline after the stock market crash in 1929

• a football game in Oklahoma

What did Franklin D. Roosevelt do at the beginning of his presidency to try and prevent bank failures?

• nationalize the farms

• cut taxes

• declare a banking holiday

• reduce regulations

What was a primary goal of the New Deal legislation passed during the beginning of his term?

• increasing industrial and agricultural surpluses

• decreasing the prices of industrial commodities

• decreasing governmental regulation of business

• providing relief and recovery from the Depression