Great Depression Multiple Choice



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Great Depression

Multiple Choice

Identify the choice that best completes the statement or answers the question.

“And then the dispossessed were drawn west—from Kansas, Oklahoma, Texas, New Mexico; from Nevada and Arkansas, families, tribes, dusted out, tractored out. Car-loads, caravans, homeless and hungry; twenty thousand and fifty thousand and a hundred thousand and two hundred thousand. They streamed over the mountains, hungry and restless—restless as ants, scurrying to find work to do—to lift, to push, to pull, to pick, to cut—anything, any burden to bear, for food. The kids are hungry. We got no place to live. Like ants scurrying for work, for food, and most of all for land.”

—John Steinbeck, from The Grapes of Wrath


____ 1. What point is Steinbeck making about migrants during the Great Depression?



a.

Migrants were so desperate for work that they traveled vast distances to find it.

b.

Migrants wanted food more than they wanted anything else.

c.

Migrants, called Okies, came mostly from Oklahoma.

d.

Migrants drove tractors instead of cars to make their way west.

____ 2. If stock prices dropped, brokers could force investors to repay their loans if the investors were



a.

installment buying.

b.

Okies.

c.

buying on margin.

d.

members of a cooperative.

____ 3. People who hopped trains to look for work were known as



a.

Okies.

b.

Hoovervilles

c.

hoboes.

d.

migrants.

____ 4. ____ was an economist who warned in September 1929 that “Sooner or later a crash is coming, and it may be terrific.”



a.

Roger Babson

b.

Charles E. Mitchell

c.

John Raskob

d.

Al Smith

____ 5. Loose-knit communities of rustic shacks and tents were called



a.

Hawleyvilles.

b.

Dust Bowls.

c.

cooperatives.

d.

Hoovervilles.


____ 6. Refer to the above map. What strike took place in Kentucky?



a.

Camden RCA strike in 1936

b.

GM sitdown in 1936

c.

Ford plant hunger strike of 1932

d.

Harlan County miner’s strike of 1931

____ 7. Where did farmers strike in 1932?



a.

California and Kansas

b.

Arkansas and Oklahoma

c.

Alabama and Georgia

d.

Iowa and Minnesota

____ 8. According to the above map, which states were most unionized?



a.

Florida and California

b.

Washington and West Virginia

c.

Indiana and Ohio

d.

Minnesota and Wisconsin

____ 9. The ____ was created by private business and the federal government working together



a.

Smoot-Hawley Tariff Act

b.

Federal Reserve

c.

Great Depression

d.

Hoover Dam

____ 10. ____ is the term that describes the devastation of the Great Plains by drought.



a.

The Great Depression

b.

Black Tuesday

c.

The Dust Bowl

d.

The Grapes of Wrath

____ 11. John Steinbeck wrote this novel about tenant farmers during the Great Depression.



a.

Native Son

b.

The Grapes of Wrath

c.

Gone with the Wind

d.

Their Eyes Were Watching God

____ 12. This president oversaw American’s food production during World War I and later directed relief efforts in Europe. He also served as the secretary of commerce.



a.

Herbert Hoover

b.

Franklin Roosevelt

c.

Calvin Coolidge

d.

Warren Harding

____ 13. How did dust storms make it difficult to farm in the Great Plains?



a.

They covered up the farmers’ crops.

b.

They covered the rooftops with too much dust.

c.

They made the fields too muddy.

d.

They stripped off the topsoil and blew it away.

____ 14. How did many of the unemployed feel about receiving handouts during the Great Depression?



a.

happy and relieved

b.

ashamed and angry

c.

hopeful

d.

rich

____ 15. On October 24, 1929, investors responded to concerns about the economy by



a.

selling off their stocks.

b.

buying up more stocks.

c.

appealing to the Federal Reserve to halt stock sales.

d.

emptying their bank accounts.

____ 16. In the fall of 1930 more than 6,000 unemployed workers sold ____ on the streets of New York City alone.



a.

bananas

b.

their cars

c.

apples

d.

their belongings

____ 17. The total value of all goods and services produced in a nation is called the



a.

gross national profit.

b.

margin of growth.

c.

gross national product.

d.

net national product.

____ 18. During the boom years of the 1920s overall unemployment across the nation



a.

rose steadily, increasing about two percent each year.

b.

was not measured, since economic times were good.

c.

remained low, averaging around five percent.

d.

was high, except in rural areas.

____ 19. The boom economy of the “Roaring Twenties” did not apply to



a.

steel, oil, and rubber industries.

b.

farmers.

c.

movie theaters and sporting events.

d.

companies producing new items on the nation’s assembly lines.

____ 20. Why were the years between 1923 and 1929 bad times for organized labor?



a.

Benefits from employers kept workers satisfied, so they felt little need to join trade unions.

b.

Since unemployment was high, workers feared being laid off if they expressed interest in a labor union.

c.

Workers thought that union policies were poorly suited totheir needs.

d.

Management recognized weaknesses in the economy and worked with labor to ease the burden on workers.




Cause

Unemployment and poverty







Cause










Effect

Farm prices sank

____ 21. Which of the following best completes the diagram?



a.

decreased acreage devoted to soybeans

b.

increased demand for farm laborers

c.

decreased demand for food

d.

increased ownership of property

____ 22. How did Americans’ behavior in regard to the stock market change in the early and mid 1920s?



a.

Investing in the stock market was limited to the wealthiest five percent of all Americans.

b.

As stock prices rose and credit eased, even Americans of modest means became investors.

c.

By 1925 the public had lost confidence in the government and its pro-business policies.

d.

The popularity of buying land far overshadowed other forms of investing.

____ 23. “Black Tuesday” referred to the



a.

collapse of the stock market.

b.

day voters re-elected Herbert Hoover.

c.

worst dust storm of 1931.

d.

day the Federal Reserve made it more difficult for brokers to offer margin loans.




“Economic depression cannot be cured by legislative action or executive pronouncement. Economic wounds must be healed by the action of the cells of the economic body—the producers and consumers themselves.”

–President Herbert Hoover


____ 24. According to the above quote and what you have read about Hoover, what were President Hoover’s core beliefs about the Great Depression?



a.

Businesses and individuals (producers and consumers) should be able to cure the Depression without direct government aid.

b.

Individuals need direct government aid, but businesses should be able to form associations and take care of themselves.

c.

The Reconstruction Finance Corporation program would help individuals but hurt banks.

d.

The federal government had a responsibility to give aid to individuals and businesses during hard economic times like the Great Depression.

____ 25. In the months before the stock market crash, people who kept up with news in the financial world



a.

learned that the distribution of wealth was growing more even.

b.

saw higher prices increase savings for the lower middle class.

c.

realized that sales were lagging and investors were pulling out of the stock market.

d.

agreed that American corporations should be barred from lending money to brokers.

____ 26. President Hoover downplayed the effects of the crash because



a.

margin buyers were not hurt.

b.

he believed the economy would soon recover.

c.

consumers continued buying stocks at a brisk pace.

d.

the crash had little effect on economies overseas.

____ 27. In the aftermath of the crash, industrialized nations around the world took measures to



a.

maintain the current size of their workforce.

b.

protect themselves by passing high tariffs.

c.

increase wages by a total of $4 billion.

d.

decrease tariffs, making it easier to import goods from abroad more cheaply.

____ 28. Americans knew they were in a Hooverville when they saw



a.

vacuum cleaners.

b.

banks.

c.

dams.

d.

shacks.




Reason 1




Reason 2

Easy credit






















Action




Action

Buying on margin




Bank failures




























Great Depression

____ 29. Which of the following best completes the chart above?



a.

Hoover’s election

b.

Smoot-Hawley Tariff

c.

stock market collapse

d.

Dust Bowl drought

____ 30. Why was buying on margin riskier than other ways of investing in the stock market?



a.

If the stock price dropped, the investor might make only asmall profit.

b.

If the stock price dropped, brokers could force investors to repay their loans.

c.

Margin calls forced investors to buy more stock.

d.

The Federal Reserve made it more difficult for brokers to lend to investors.


Great Depression

Answer Section

MULTIPLE CHOICE

1. ANS: A PTS: 1 DIF: 2 NAT: 21.2.2

2. ANS: C PTS: 1 DIF: 2 NAT: 21.1.2

3. ANS: C PTS: 1 DIF: 2 NAT: 21.2.2

4. ANS: A PTS: 1 DIF: 2 NAT: 21.1.2

5. ANS: D PTS: 1 DIF: 1 NAT: 21.2.2

6. ANS: D PTS: 1 DIF: 2 NAT: 21.2.2

7. ANS: D PTS: 1 DIF: 2 NAT: 21.2.2

8. ANS: B PTS: 1 DIF: 2 NAT: 21.2.2

9. ANS: D PTS: 1 DIF: 2 NAT: 21.3.2

10. ANS: C PTS: 1 DIF: 2 NAT: 21.2.3

11. ANS: B PTS: 1 DIF: 1 NAT: 21.2.2

12. ANS: A PTS: 1 DIF: 2 NAT: 21.3.1

13. ANS: D PTS: 1 DIF: 2 NAT: 21.2.3

14. ANS: B PTS: 1 DIF: 2 NAT: 21.2.2

15. ANS: A PTS: 1 DIF: 2 NAT: 21.1.3

16. ANS: C PTS: 1 DIF: 2 NAT: 21.1.4

17. ANS: C PTS: 1 DIF: 1 NAT: 21.1.1

18. ANS: C PTS: 1 DIF: 2 NAT: 21.1.1

19. ANS: B PTS: 1 DIF: 1 NAT: 21.1.2

20. ANS: A PTS: 1 DIF: 2 NAT: 21.1.2

21. ANS: C PTS: 1 DIF: 2 NAT: 21.2.1

22. ANS: B PTS: 1 DIF: 3 NAT: 21.1.1

23. ANS: A PTS: 1 DIF: 1 NAT: 21.1.3

24. ANS: A PTS: 1 DIF: 3 NAT: 21.3.1

25. ANS: C PTS: 1 DIF: 2 NAT: 21.1.2

26. ANS: B PTS: 1 DIF: 2 NAT: 21.3.2

27. ANS: B PTS: 1 DIF: 2 NAT: 21.1.4

28. ANS: D PTS: 1 DIF: 1 NAT: 21.2.2

29. ANS: C PTS: 1 DIF: 2 NAT: 21.2.1



30. ANS: B PTS: 1 DIF: 3 NAT: 21.1.2


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