| A | B |
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| What was the mood of the country like in the 1920's? | It was optomistic. Wages were high, unemployment was low |
| What is the gross national product? | total value of all goods and services produced in a nation during a specific period |
| Why did farmers not prosper during the 1920's? | Once Europe had been rebuilt from World War I, they no longer needed to purchase crops from American farmers |
| What is welfare capitalism? | emloyee benefits such as paid insurance and shorter work days that are provided by an employer to keep workers from joining unions. |
| What happened to union membership during the 1920's | it decreased. Times were good so there was no reason for them to join a union. |
| shares that are sold in a company are called _______. | stocks |
| What happened to the number of stocks traded in the 1920's? | it quadrupled |
| Who wrote the book "Everyone Ought To Be Rich?" | Jacob Raskob |
| Did President Harding and Coolidge favor business or labor unions? | business |
| Who won the Presidential election in 1928? | Herbert Hoover |
| What prejudice did Al Smith face in the 1928 Presidential election? | He was Catholic |
| When you buy stocks with loans from a stockbroker, what is it called? | buying on margin |
| What is a margin call? | If stocks fell in value, stock brokers could call in their loans. This was called a margin call |
| This is the name for the nations central bank. It makes loans to other banks, if needed. | Federal Reserve |
| When the Federal Reserve became concerned about Americans buying stock on margin, they made it harder for brokers to offer loans to investers. Who then stepped up and allowed investors to borrow to buy stocks? | American corporations |
| What is the Dow Jones Industrial Average? | the average of stock prices of major industries. It is used as an economic indicator on the health of the US economy. |
| What happened to the Dow Jones Industrial Average in the early 1920's? | it increased and on Sept. 3, 1928, it reached an all time high |
| When nervous investors started selling their stock on Oct. 24, 1929, what did a group of leading bankers do? | They joined together to buy stocks and prevent a further collapse. It worked temporarily. |
| What is Black Tuesday? | Tuesday, Oct. 29, 1929, the day the U.S. stock market crashed. |
| periods in which the economy grows and then contracts is called the ________ _________ | business cycle |
| How did the stock market crash affect individuals? | many were hard hit and financially ruined. |
| Who were the hardest hit by the stock market crash? | margin buyers, brokers demanded they pay back the money they had been loaned. |
| How did the stock market crash affect banks? | triggered a banking crisis as frightened depositors rushed to withdraw their money, draining the banks of funds, and causing many banks to close. |
| How did bank closures affect Americans? | more than 9 million savings accounts vanished |
| How did the stock market crash affect consumers? | they cut back their spending on everything but essentials, and companies were forced to lay off workers. Unemployed workers had even less money to make purchases, and the cycle continued |
| How did the stock market crash affect the European economies? | Americans had invested in Germany, when American businesses went under in Germany, it put many Germans out of work. Germany could not pay back their reparation loans to Britain and France. Since Britain and France weren't getting paid from Germany, they couldn't pay back the United States for the money they had borrowed during World War I. Along with this, After World War I, America had kept imports high (to protect American workers) so it was hard for Britain and France to sell goods in America and make money and this also hurt their efforts to pay the U.S. back. |
| Was the stock market crash the cause of the Great Depression? | no, there were many underlying factors, but it was the final push. |
| What were some of the economic danger signs of the 1920's? | uneven prosperity, buying on credit, buying stocks on margin, too many goods being produced with out enough demand, and a troubled farm economy. Low wages and rising debts for many Americans |
| This is the name given to the worst economic downturn in American history. There was inflation and high unemployment. | Great Depression |
| This occurs when a lender takes over ownership of a property from an owner who has failed to make loan payments. | foreclosure |
| What methods did some people have to resort to in order to survive the Great Depression? | they begged door to door, relied on soup kitchens and bread lines, some went hungry. fought over the contents of garbage containers. Families planted relief gardens, some moved in with other family members. Divorce rates decreased. |
| How did children suffer during the Great Depression? | they suffered the most from poor diets and inadequate medial care. |
| These were shantytowns made from tar paper, cardboard or scrap material and was a term mocking President Hoover. | Hoovervilles |
| At first the depression just affected the ____ people. | wealthy |
| How had values changed in the 1920's in regard to buying on credit? | buying on credit was no longer looked down upon. |
| This was the name for the severe economic downturn that lasted from 1929 until the United States entered into World War II in 1941. | Great Depression |
| term given to people who hopped on trains illegaly to try and find work. | hobos |
| How did the Great Depression affect the view of working women? | Working women were seen as taking jobs away from men. |
| What happened to discrimination during the Great Depression? | It increased due to the high competition for jobs, lynchings increased. Many government relief programs did not apply to African Americans |
| What was the Scotsboro case? | Nine black youth were riding the rails and arrested and accused of raping two white women. They were not given the chance to hire a defense attorney. 8 of the 9 were convicted and sentenced to death |
| What famous novel was based on the Scotsboro case? | To Kill A Mockingbird |
| Who helped get a lawyer hired for the Scottsboro boys and helped get their conviction overturned? | The Communist Party |
| How did the Great Depression affect the minds and spirits of Americans? | Many felt that they had failed as individuals. Widespread feeling that the nation had failed its citizens. |
| She was a photographer who photographed the people of the depression. | Dorthea Lange |
| A period of below average rainfall. Americans dealt with this condition during the Great Depression. | drought |
| Because of the drought, land protected by grass was now bare. The winds would blow and create huge _______ storms. | dust storms; causing the Dust Bowl |
| Where was the hardest area of the Dust Bowl? | Oklahoma, Kansas, Colorado, New Mexico, and Texas |
| This was the route many migrants took on their way to California | Route 66 |
| This was a nickname given to migrants from Oklahoma who went to California. It was meant to be a derogatory term. | Okie |
| This was a novel written by John Steinbeck about the Great Depression. | The Grapes of Wrath |
| Hoover believed that government should leave businesses alone during the Great Depression. What is that term that means that government should stay out of business. | laissez-faire |
| This was the name for Hoover's plan that businesses should form voluntary associations to make the economy more fair and efficient. Skilled government specialists would then cooperate with the associations. | associative state |
| This project was completed by an associative state. The government provided the funding for building this structure to harness the Colorado River to provide electricity and a safe reliable water system for seven states. | Hoover Dam |
| What is a cooperative? | An organization owned and controlled by members, who work together for a common goal. |
| This was a program that Hoover instituted even though it went against his beliefs of the government helping people. It provided $2 billion in direct goverment aid to banks and institutions. | Reconstruction Finance Corporation |
| What was the Federal Home Loan Bank | a program to encourage home building |
| this is the name for taxes placed on imported goods. | tariff |
| What tariff did Hoover pass in order to address the economic crisis? | Smoot-Hawley Tariff |
| Why was the Smoot-Hawley tariff passed. | It was Hoover's attempt to help farmers |
| Was the Smoot-Hawley Tariff effective? | no, European nations responded with tariffs on American goods so our products could not be sold in Europen. |
| What was the Bonus March? | After World War I, WWI vets were promised $1.25 for every day they served overseas and $1.00 for U.S. service, but it was not to be paid until 1945. With the troubling economic times, some veterans marched on Washington to get their bonus early since they needed the money now. |
| How did Hoover respond to the Bonus Marchers? | He sent in U.S. soldiers and began clearing the area of veterans. Violence erupted and the camp went up in flames, injuring hundreds. |
| What action did Hoover take in 1932 to try and balance the budget? | He signed a large tax increase. This was highly unpopular |
| What were examples of Great Depression humor? | Jokes kept people laughing. Hoover blankets were newspapers, empty pockets turned inside out were called Hoover flags. Will Rogers entertained America with his humor. |
| What amendment repealed the 18th amendment and ended Prohibition? | the 21st amendment |
| This was a huge skyscrapper that was developed by John J. Raskob and became the tallest building in the world. It was a symbol of hope for many Americans. | Empire State Building |
