Causes of the Great Depression

What best describes the American economy during the "Roaring 20s?"

• A period of economic decline and high unemployment.

• A period of economic prosperity, cultural change, and increased consumer spending.

• A time of strict financial regulations and lower investment opportunities.

• A shift towards agricultural and reduced industrial output.

What led many Americans to invest heavily in the stock market during the 1920s?

• Government mandates requiring citizens to invest a portion of their income.

• A belief that stock investments were a way to become rich quickly.

• Limited availability of consumer goods, leading people to save rather than spend.

• Strict regulations that prevented banks from lending money for stock purchases.

What events marked the beginning of the stock market crash in October 1929?

• Black Friday and Cyber Monday.

• Black Monday and Black Wednesday.

• Black Thursday and Black Tuesday.

• Black Saturday and Black Sunday.

What was the peak unemployment rate in the United States during the Great Depression?

• Approximately 10%

• Approximately 35%

• Approximately 50%

• Approximately 25%

Which President introduced agencies (such as the FDIC) to protect investors and their money?

• Herbert Hoover

• Franklin Roosevelt

• Lyndon Johnson

• Warren G. Harding