The Great Depression Overview Quiz
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Questions and Answers

What significant event is marked by the date October 29, 1929?

  • The beginning of the Great Depression
  • The establishment of the Reconstruction Finance Corporation
  • Black Tuesday, the worst day in stock market history (correct)
  • The first bailout of banks

Which of the following was a direct effect of the stock market collapse?

  • Bankruptcies among individuals unable to pay back loans (correct)
  • More people started buying stocks
  • Increased employment rates
  • Increased international trade

What philosophy characterized Hoover's response to the economic crisis?

  • Collectivism is necessary during hardships
  • Government intervention should be minimized (correct)
  • Economic stability requires significant government support
  • Immediate cash handouts to the poor are essential

What was one outcome for farmers as a result of the economic conditions during the Great Depression?

<p>Many lost their farms and homes to repossession (D)</p> Signup and view all the answers

What was the purpose of the Reconstruction Finance Corporation (RFC) established by Hoover?

<p>To lend money to banks, industries, and agriculture (C)</p> Signup and view all the answers

What was a common phrase people used to express their disillusionment with Hoover?

<p>In Hoover we trusted, now we are busted (A)</p> Signup and view all the answers

How did unemployment rates change by 1933?

<p>Rose dramatically to a quarter of Americans (B)</p> Signup and view all the answers

What were shanty-towns created during the Depression commonly referred to as?

<p>Hoovervilles (C)</p> Signup and view all the answers

What cultural impact did the rise of movie stars have during this period?

<p>Encouraged new fashions like smoking and contributed to flapper culture. (D)</p> Signup and view all the answers

What major change occurred for women between 1920 and 1929?

<p>More women entered the workforce, with a 25% increase in employment. (D)</p> Signup and view all the answers

Which of the following best describes the flapper lifestyle?

<p>Short hair, short skirts, and wild dancing characterized their culture. (C)</p> Signup and view all the answers

What was the status of racial equality during this era?

<p>Jim Crow Laws enforced segregation, and lynching was common. (B)</p> Signup and view all the answers

What societal response was evident against flappers?

<p>Conservative groups formed to encourage flappers to behave decently. (A)</p> Signup and view all the answers

What was a significant weakness of the New Deal programs?

<p>They mainly favored young men and new unemployed individuals. (B)</p> Signup and view all the answers

Which of the following organizations actively campaigned for prohibition?

<p>The Anti-Saloon League. (D)</p> Signup and view all the answers

What did the Harlem Renaissance signify during this period?

<p>A cultural flowering in black neighborhoods seeking equality. (A)</p> Signup and view all the answers

How did the government spending in 1937 affect the economy?

<p>It caused a new depression due to reliance on government support. (A)</p> Signup and view all the answers

How did the American government respond to racial violence such as lynching?

<p>They largely ignored appeals to address the violence. (B)</p> Signup and view all the answers

Which group was notably excluded from the benefits of the New Deal programs?

<p>Women and minority groups. (C)</p> Signup and view all the answers

What was one of the successes attributed to the New Deal?

<p>It restored faith in democracy and avoided extremist movements. (D)</p> Signup and view all the answers

What role did World War II play in the economic situation of the USA?

<p>It served as the real solution to the economic depression. (B)</p> Signup and view all the answers

What was the impact of the assembly line on car production from 1910 to 1920?

<p>It reduced production time from 14 hours to 93 minutes. (C)</p> Signup and view all the answers

Which synthetic material was introduced first and played a role in industry?

<p>Bakelite (C)</p> Signup and view all the answers

What percentage of the population owned cars despite the boom in car ownership during the 1920s?

<p>3% (C)</p> Signup and view all the answers

What was a significant consequence of the stock market's inaccessibility for many individuals?

<p>Many lost their investments when prices fell. (D)</p> Signup and view all the answers

Which group faced economic struggles due to the overproduction of goods in the 1920s?

<p>Farmers (A)</p> Signup and view all the answers

Which statement accurately describes the economic disparity of the 1920s?

<p>Only 5% of the population received 33% of total income. (B)</p> Signup and view all the answers

What was a result of the growing reliance on technology during the 1920s?

<p>Job loss due to technological advancement. (D)</p> Signup and view all the answers

What was one of the reasons for the hard times faced by American farmers in the late 1920s?

<p>The drop in wheat prices from $1.83 to $0.38. (D)</p> Signup and view all the answers

What was a primary reason for the adoption of isolationism by the United States after World War I?

<p>Negative sentiment towards imperialism (C)</p> Signup and view all the answers

How did the Immigration Quota Act of 1921 impact immigrant demographics in the United States?

<p>Limited the annual number of immigrants and favored WASPs (D)</p> Signup and view all the answers

Which action reflected the United States' policy of protectionism in the post-World War I period?

<p>Implementing tariffs on European imports (A)</p> Signup and view all the answers

What was a significant consequence of the Sacco and Vanzetti trial?

<p>It highlighted bias in the U.S. justice system (B)</p> Signup and view all the answers

What was one of the main purposes of the National Industrial Recovery Act (NIRA)?

<p>To set standards for business practices. (D)</p> Signup and view all the answers

What was a notable aspect of American societal attitudes towards immigrants post-World War I?

<p>They faced distrust and lived in ethnic ghettos (C)</p> Signup and view all the answers

How did the Tennessee Valley Authority (TVA) impact the local economy?

<p>By creating thousands of jobs through infrastructure projects. (B)</p> Signup and view all the answers

What economic trend characterized the United States during the period following World War I?

<p>A consumer boom driven by new purchasing options (D)</p> Signup and view all the answers

What action did the Supreme Court take regarding the NIRA?

<p>It declared the act unconstitutional. (B)</p> Signup and view all the answers

Which U.S. president ran on the slogan 'America First' and promised a return to normalcy?

<p>Warren G. Harding (B)</p> Signup and view all the answers

Which economic issue was a primary concern addressed by the TVA?

<p>Flooding that destroyed livelihoods. (B)</p> Signup and view all the answers

Which of the following statements best describes the U.S. economic stance immediately after World War I?

<p>The U.S. took advantage of Europe's war-torn state to expand exports. (C)</p> Signup and view all the answers

What was a significant result of the National Recovery Administration's (NRA) efforts?

<p>Over 2 million employers joined the movement. (C)</p> Signup and view all the answers

What types of projects did the TVA focus on?

<p>Dams, irrigation, and hydroelectric power. (D)</p> Signup and view all the answers

What was one of the main hopes behind the policies implemented by the NRA?

<p>To develop a stronger base for consumer demand. (B)</p> Signup and view all the answers

How did the NRA encourage consumer behavior?

<p>By promoting government-approved businesses to consumers. (A)</p> Signup and view all the answers

Flashcards

Isolationism

A policy where a country avoids involvement in international affairs, focusing on domestic issues.

America First

The belief that the United States should prioritize its own interests and stay out of international conflicts.

Return to normalcy

The belief that the United States should return to a normal state of affairs, especially after the turmoil of World War I.

Tariffs

A tax imposed on imported goods to protect domestic industries from foreign competition.

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Immigration Restriction

A policy of limiting the number of immigrants allowed into a country.

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Immigration Quota Act 1921

A law passed by the US Congress in 1921 that limited the number of immigrants allowed into the United States each year and favored specific ethnic groups.

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Consumer Boom

A boom in consumer spending, fueled by easy credit and increased production of consumer goods.

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Republican Policies during Roaring Twenties

A political and economic philosophy that emphasizes limited government intervention in the economy, low taxes, and free markets.

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Harlem Renaissance

A cultural movement in Harlem, New York City during the 1920s, characterized by a surge in African American artistic, literary, and musical creativity.

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Jim Crow Laws

Laws in the Southern states that enforced segregation and discrimination against African Americans.

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NAACP

A national organization formed in 1909 to fight for the rights of African Americans.

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Great Migration

The migration of approximately 1.5 million African Americans from the South to the North between 1916 and 1930, seeking better economic opportunities and escaping racial discrimination.

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Lynching

The practice of publicly hanging African Americans without a fair trial, often driven by racial prejudice and mob violence.

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Ku Klux Klan

A white supremacist organization notorious for its violent methods, targeting African Americans and other minority groups.

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Anti-Flirt League

A group of conservative women who opposed the flapper culture and advocated for traditional gender roles.

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Roaring Twenties

A period of time in the 1920s known for economic prosperity, cultural change, and widespread social and political upheaval.

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Innovation in production methods

The assembly line allowed for mass production of goods, significantly reducing costs and production time, making products more affordable for consumers. A prime example is the Ford Model T, whose production time dropped dramatically, leading to a price reduction from $850 in 1910 to $295 in 1920.

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Synthetics

The rise of synthetic materials, such as Bakelite and nylon, revolutionized industries by providing new, durable, and versatile materials for a wide range of products.

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Upsurge in car ownership

The widespread adoption of cars in the 1920s had a ripple effect on various related industries, such as steel, oil, and glass. The increasing number of car owners also led to an increase in road construction, creating new jobs and stimulating economic growth.

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Consumer durables

The availability of consumer durables, such as washing machines, refrigerators, and record players, brought modern conveniences to households and significantly improved people's lives. The rise of these products was fueled by technological advancements and increased affordability.

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Communications

The widespread use of radios and telephones vastly improved communication, connecting people over distances and contributing to the cultural exchange of ideas and entertainment.

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Entertainment industry

The entertainment industry boomed in the 1920s with the rise of cinema and the popularity of movie stars, such as Charlie Chaplin and Clara Bow, who drew huge crowds to theaters.

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Stock market

The stock market became a popular investment venture in the 1920s, fueled by the belief that prices would always rise. This led to the practice of "buying on the margin," where investors borrowed money to purchase shares, hoping to profit from future price increases. While this seemed lucrative, it also created a dangerously inflated market, making it highly vulnerable to a crash.

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Uneven prosperity in the 1920s

The 1920s witnessed a period of economic prosperity, but this prosperity was unevenly distributed, leaving many groups excluded from the boom. Farmers, low-wage earners, old industries, and African Americans faced economic challenges, highlighting the stark inequalities that persisted.

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New Deal's temporary programs

The New Deal's temporary programs, like the CCC, CWA, and PWA, primarily benefitted young men and newly unemployed individuals, neglecting those who had been jobless for extended periods.

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1937 government spending cuts

The reduction of government spending in 1937 triggered another economic downturn as industries had become dependent on public expenditures and hadn't fully recovered.

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New Deal's impact on marginalized groups

The New Deal's initiatives did not effectively address the needs of marginalized groups, such as African Americans, migrants, sharecroppers, and tenant farmers.

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Successes of the New Deal

The New Deal's success is attributed to restoring public faith in democracy, bolstering infrastructure projects, offering relief to millions, creating jobs, rescuing banks, and reducing unemployment.

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Second World War and the Great Depression

The Second World War ultimately ended the Great Depression by boosting the US economy through military spending and manufacturing for the Allies.

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The Great Depression

A severe economic downturn characterized by widespread unemployment, business failures, and a decline in economic activity.

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Stock Market Crash of 1929

A rapid decline in the value of stocks, leading to widespread panic selling and a crash in the stock market.

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Rugged Individualism

A belief that individuals should rely on their own efforts and resources, rather than government assistance, to overcome economic challenges.

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Hoovervilles

A term coined to describe the shantytowns built by homeless people during the Great Depression, reflecting the perception that President Hoover did not do enough to help the poor.

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Reconstruction Finance Corporation (RFC)

An organization created by President Hoover to provide loans to banks, industries, and agriculture in an effort to stimulate the economy during the Depression.

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Bonus Army

The name given to the group of World War I veterans who marched on Washington, D.C., demanding early payment of their promised bonuses, highlighting the plight of unemployed veterans and the growing discontent during the Depression.

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Hoover's Response to the Great Depression

A series of measures implemented by President Hoover to address the Great Depression, which included creating jobs through public works projects, providing unemployment relief, and lowering taxes.

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Dust Bowl

The massive displacement of farmers from their land during the Dust Bowl, caused by severe drought, overfarming, and wind erosion, which worsened the effects of the Great Depression in rural areas.

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What is the TVA?

A federal agency created in 1933 to help improve the economic and social conditions in the Tennessee Valley region, which had been devastated by poverty and environmental problems. The TVA built dams, provided electricity, and implemented conservation measures.

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What was the goal of the NIRA?

A 1933 act that established the National Industrial Recovery Administration (NRA) to promote fair competition, prevent monopolies, and stimulate economic recovery during the Great Depression.

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Why was the NIRA struck down by the Supreme Court?

The Supreme Court ruled the NIRA unconstitutional in 1935, ending the NRA's program. This was because the NIRA interfered with the rights of states to regulate certain businesses.

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How did the TVA help the people in the Tennessee Valley?

The TVA significantly helped the people living in the Tennessee Valley area by providing them with jobs through dam and infrastructure projects, loans for farmers, and training on soil conservation.

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How did the NRA encourage people to buy from participating businesses?

The National Industrial Recovery Act (NIRA) implemented a program with 'eagle crests' awarded to businesses that followed the NRA guidelines. It was designed to encourage people to buy from these businesses and create jobs.

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Why was the TVA created?

The Tennessee Valley Authority (TVA) was created to address the issues of poverty, environmental degradation, and economic hardship in the Tennessee Valley region. It was a massive undertaking, covering six states.

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What replaced the NIRA?

The NIRA was later replaced by the National Relations Act in 1935, which protected workers' rights to form unions and bargain collectively. It was passed after the NIRA was ruled unconstitutional.

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How did the TVA contribute to the Tennessee Valley's economy?

The Tennessee Valley Authority's projects, including dams, irrigation systems, and hydroelectric power plants, created thousands of jobs and revitalized the region's economy.

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Study Notes

U.S.A 1919 - 1941: After the War

  • Isolationism was prevalent, with the U.S. viewing itself as a "New World" detached from Europe.
  • Financial concerns regarding European aid were also a factor for isolationist policy as there was no desire to waste resources aiding Europe.
  • There were over 115,000 American casualties in World War I, creating resentment toward American involvement in the war's outcomes.
  • German immigrants were part of the U.S. population but experienced resentment regarding the treaty of America's war involvement.
  • The U.S. had a history of being a colony, and there was a prevalent distaste of imperialism, although this notion was not eradicated.
  • Wilson lost the 1920 presidential election to Harding primarily due to the aforementioned isolationist sentiments. Harding's campaign slogan was "America First," aiming for a renewed normalcy.

Results of Isolationism

  • Tariffs: Protective tariffs were implemented to make European imports more expensive than American goods which led to Europeans also introducing retaliatory tariffs. Consequently, trade with Europe significantly decreased.
  • Immigration: There was a decreased influx of European immigrants; the U.S. favoured immigration quotas, limiting the number of newcomers coming from Southern and Eastern Europe. The new immigrants were viewed as differing from the desired population, and there were concerns regarding communism and cheap labor competition. The Immigration Law of 1917 required immigrants to pass a literacy test. The Immigration Quota Act of 1921 limited immigration to 357,000 per year, favoring WASPs (White Anglo-Saxon Protestants).

Economic Boom!

  • The U.S. profited greatly from World War I, securing arms and material supply contracts.
  • Republican policies emphasized low taxes and minimal government intervention, fostering business growth and prosperity.
  • Consumer demand boomed driven by innovative production methods, such as the assembly line, especially in the automobile industry, and cost savings.
  • The production of synthetic materials like Bakelite also contributed substantially to the growing economy.
  • Increased car ownership resulted in demand for infrastructure and related industries including oil, steel, glass, and more.
  • Growth was also seen in the communication sectors of broadcasting and telephony.

Economic Concerns

  • Farmers: Overproduction led to agricultural price drops, and farming income was significantly lower than the national average.
  • Low Wages: Despite the prosperity of the 1920s, a significant portion of the U.S. population suffered from low wages, which made access to luxuries like cars difficult.
  • Old Industries: Industries like coal faced difficulties due to overproduction and resulting price decline, impacting job markets and income.
  • Racial Disparities: African Americans predominantly found menial jobs with the lowest wages, which were concentrated in segregated neighborhoods, called ghettos.
  • Monopolies and Cartels: Powerful monopolies and cartels often controlled industries, maintaining high prices and suppressing wages.
  • Unemployment: Technological advancements led to job losses in some sectors, especially those in older industries. Between 1920 and the 1930s there was substantial unemployment and a growing number of people struggling to survive.

The Roaring Twenties

  • Film and Entertainment: The rise of the movie industry and the emergence of stars like Clara Bow, and Charlie Chaplin became prevalent sources of fashion and cultural influence.
  • Jazz and Dance: Emerging jazz music and dance styles, like the Charleston, became popular cultural phenomena.
  • Women's Rights: Significant change in women's roles with a growing number of women entering professions predominantly held by men. Women's suffrage (right to vote) became a reality. The "flappers" are the popular symbols of the new women, breaking social norms through mannerisms like short hair, short skirts, and unconventional dancing.

Racism and Discrimination

  • Hostility to Immigrants: The U.S. displayed hostility towards immigrants, often with a distrust and lack of support.
  • Jim Crow Laws: Segregation laws remained in place in many regions of the U.S. and were not adequately challenged or addressed.
  • KKK: The Ku Klux Klan, a white supremacist organization, saw a resurgence and wielded significant influence on politics and society.
  • Lynching: The practice of lynching (extrajudicial killing) continued against African Americans.

Prohibition

  • Why: Campaigners like the Anti-Saloon League blamed societal problems on alcohol, which led to the U.S. enacting Prohibition. World War I and Germany's brewing industry were also contributing factors.
  • Failure: Prohibition proved difficult to enforce which led to the rise of organised crime which flourished off of supplying illegal alcohol.

The Wall Street Crash

  • Long-Term Causes: Economic weaknesses, significant wealth inequality, and overproduction were major long-term factors contributing to the eventual crash.
  • Short-Term Causes: Speculative investment and buying stocks on credit were key short-term factors, causing instability. High-volume insider trading also increased speculation.

Immediate Effects of the Crash

  • The Wall Street Crash of 1929 had widespread, devastating impacts, sending many into bankruptcy, and resulting in significant economic hardship.
  • Banks and businesses failed due to decreased deposits and loans.
  • Unemployment rates sharply rose as people lost their jobs following business closures.

The New Deal

  • Franklin Delano Roosevelt won the U.S. presidency in 1933 promising a "new deal".
  • This involved a substantial set of legislations and programs aimed at providing relief to the struggling economy.
  • The legislation was designed to combat the economic problems of the Depression, with a focus on infrastructure, banking recovery, and job creation.
  • Opposition to the New Deal came largely from business leaders and certain political figures and factions.
  • The Supreme Court ruled certain New Deal initiatives unconstitutional.

Assessing the New Deal

  • Weaknesses: The New Deal had limitations with some of the proposed initiatives proving to be temporary in nature and only providing short-term alleviation from the economic issues. Some programs offered support to the younger demographic and individuals who were recently unemployed.
  • Successes: The New Deal helped to restructure the American economy; established confidence in the banking system, promoted societal and industrial reforms that provided support for a significant portion of the population, and prevented the escalation of political radicalization. Unemployemnt and hardship were lessened with the implementation of the programs.

Other Issues

  • Women: Women continued to experience discrimination, frequently being excluded from social security and government aid programs.
  • Overall: The world economy did not improve significantly.

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Test your knowledge of key events and responses during the Great Depression, including the stock market collapse of 1929. This quiz covers the significant economic philosophies and outcomes during Hoover's presidency. Engage with questions about the challenges faced by farmers and the impact on unemployment rates.

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