The Nation's Sick Economy Lesson Quiz
Quiz by John Browning
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12 questions
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- Q1What weaknesses in the U.S. economy were hidden by the false prosperity of the 1920s?major industries, such as railroads and mining, were struggling30s
- Q2What factor caused farmers to fall on hard times in the 1920s?demand for crops fell sharply30s
- Q3What was the purpose for price supports?to set prices for major crops such as wheat, cotton, and tobacco30s
- Q4Why did consumers stop spending money in the 1920s?they were faced with huge debt30s
- Q5How was Herbert Hoover able to win the Presidential Election of 1928 so easily?he used the strength of the economy to get elected30s
- Q6Why did so many Americans invest in the stock market?they dreamed of getting rich30s
- Q7Why was most of the 1920s considered to be a "bull market"?it was a time of rising stock prices30s
- Q8Why was buying on margin so risky?a person borrowed money to invest in the stock market30s
- Q9Why is October 29, 1929 known as Black Tuesday?this is when the stock market crashed30s
- Q10What happened to American banks after the stock market crash of 1929?nearly half of the banks failed30s
- Q11What happened to the unemployment rate after banks failed and businesses closed?the rate rose from 3 percent to 25 percent30s
- Q12Name two causes of the Great Depressiona crisis in farming and easy credit30s