The Great Depression and New Deal

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Questions and Answers

Which of the following best describes the core idea behind Herbert Hoover's philosophy during his presidency?

  • Wealth redistribution is necessary to balance economic inequalities and promote social welfare.
  • Individual effort and private enterprise are the most effective means to overcome economic challenges. (correct)
  • Government intervention should be extensive to regulate private industries and ensure fair labor practices.
  • International cooperation and free trade are crucial for economic stability and global prosperity.

What factor most directly connected the Great Migration to the flourishing of the Harlem Renaissance?

  • Decline of racial segregation and discrimination in the North.
  • The concentration of African Americans in northern cities, fostering cultural exchange and artistic expression. (correct)
  • Economic prosperity of African American communities during the early 20th century.
  • Increased political power of African Americans in southern states.

How did risky bank lending practices contribute to the severity of the Great Depression?

  • Banks hoarded gold reserves, limiting the money supply and slowing economic activity.
  • Banks invested heavily in infrastructure projects, leading to overproduction and market saturation.
  • Banks implemented strict lending policies, preventing individuals and businesses from accessing needed capital.
  • Banks made numerous loans that could not be repaid, destabilizing the financial system. (correct)

Which of the following is an accurate description of buying 'stocks on credit' or 'on margin'?

<p>Investing in stocks using borrowed money, increasing potential gains but also risks. (C)</p> Signup and view all the answers

What impact did the stock market crash have on the confidence of businessmen during the Great Depression?

<p>Businessmen lost confidence in the economy, contributing to further economic decline. (D)</p> Signup and view all the answers

Roosevelt's victory in the election of 1932 can be attributed primarily to what factor?

<p>The public's dissatisfaction with Hoover's response to the Great Depression. (B)</p> Signup and view all the answers

What was the primary purpose of subsidies during the New Deal era?

<p>To provide financial assistance to stimulate economic activity during the Great Depression. (B)</p> Signup and view all the answers

How did the Works Progress Administration (WPA) impact the arts in the United States during the Great Depression?

<p>It provided funding and opportunities for artists, commissioning public art projects. (C)</p> Signup and view all the answers

What was the main goal of Huey Long's proposals during the Great Depression?

<p>To promote wealth redistribution to alleviate poverty and reduce economic inequality. (D)</p> Signup and view all the answers

Which of the following best describes the key provisions of the Social Security Act of 1935?

<p>It provided old-age pensions and unemployment insurance. (B)</p> Signup and view all the answers

Flashcards

Harlem Renaissance

A celebration of Black culture, literature, and art that took place in the 1920s and 1930s.

Harding's 'Return to Normalcy'

President Harding's policy of returning to pre-WWI norms, focusing on domestic issues and isolationism.

Hoover's Philosophy: Rugged Individualism

Hoover's belief in individual self-reliance and limited government intervention.

New Deal 'Black Cabinet'

Informal group of advisors during the New Deal.

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Great Migration

Mass movement of African Americans from the rural South to the urban North.

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Banks role in the Great Depression

Banks gave out unpayable loans and were irresponsible.

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Buying Stock on Credit (Margin)

Purchasing stocks with borrowed money, amplifying gains and losses.

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Rising Unemployment

Rising unemployment signaled economic downturn.

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Stock Market Impact on Great Depression

Stock market crash triggered depression because businessman lost confidence in recovery.

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Election of 1932

Roosevelt defeated Hoover in a landslide.

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Study Notes

  • Harlem Renaissance was a celebration of black culture
  • Harding wanted a return to normalcy
  • Hoover's Philosophy was Rugged Individualism
  • New Deal AA was represented by the Black Cabinet
  • The Great Migration involved African Americans moving from the South to the North
  • Banks in the Great Depression gave out unpayable loans
  • Buying stock on credit involved buying on margin
  • A powerful sign of the future depression was rising unemployment
  • The stock market triggered the depression because businessmen lost confidence in the economy
  • In the Election of 1932, Roosevelt won in a landslide
  • The economy of the West during the New Deal involved subsidies, for spending money
  • Programs for the Arts are WPA
  • The heart of Huey Long's proposals revolved around redistribution of wealth
  • The Social Security Act (1935) provided old age pension and unemployment insurance
  • The accomplishment of the Tennessee Valley Authority was electricity

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