The Great Depression Learning Check

Which of the following statements BEST describes what happened on Black Tuesday?

• Stock prices fell and the stock market crashed.

• Bank runs forced many banks to close their doors.

• Federal troops attacked the Bonus Army marchers.

• The Supreme Court ruled that the NRA was unconstitutional.

Which of the following is NOT considered a cause of the Great Depression?

• overproduction

• stock speculation

• under consumption

• foreign competition

How did Congress contribute to the cause of the Great Depression?

• They made policies that favored global trade over local trade.

• They passed a law that raised the taxes of imported goods.

• They implemented an extremely high discount rate.

• They kept interest rates low to make borrowing money easier.

Examine the flowchart below. Which statement belongs in the center box?

• Stock prices steadily rise over a long period of time.

• A surplus of goods in the market occurs.

• Consumer demand outstrips production.

• A shortage of goods in the market occurs.

What was the Hawley-Smoot Tariff Act intended to do?

• make it easier for European countries to sell goods to America

• increase the amount of money in circulation in the economy

• make it easier to for Americans to borrow money

• protect American businesses from foreign competition by raising tariffs higher

Unsold Cadillacs sitting in a warehouse highlight the ___________ problem the United States faced during the Great Depression

• overconsumption

• underproduction

• underconsumption

• overproduction

Which of these statements would a conservative MOST likely have made at the onset of the Depression?

• The federal government should provide jobs to the unemployed.

• The federal government should provide homes for the homeless.

• The federal government should tax the wealthy to help the needy.

• The federal government should let the economy stabilize itself without interfering.

Which of the following was a serious problem during the Great Depression?

• low prices

• buying on margin

• high unemployment

• business consolidation

What was President Herbert Hoover’s view on providing federal aid to the needy?

• It would help improve his approval ratings and ought to be organized all across the country.

• It would undermine self-reliance and make people over-reliant on government handouts.

• It would cost the federal government more money than it had available during the Depression.

• It would greatly alleviate people’s financial struggles and programs should be implemented right away.

During the early years of the Great Depression, widespread unemployment contributed to a rise in all of the following EXCEPT

• birth rates.

• malnutrition rates.

• eviction rates.

• foreclosure rates.