The Great Depression in America Quiz

Answer: October, 1929

On October 23, the Dow Jones lost an average of 21 points AN HOUR. Thursday October 24, 1929 was called Black Thursday because it was a devastating time for investors who suddenly saw how over-priced their stocks were, and that the market would crash. The Dow Jones continued to fall till July, 1932, when it 'bottomed out' at around 48 points.

Answer: The end of World War I caused loss of jobs

World War I had almost nothing to do with the Depression. The new idea of margin buying allowed people to buy things they hadn't been able to buy before, and they spent too much. Banks had no insurance policy for your money at all, and lent it out too freely.

Many thought that they could get rich in the stock market, even though this rarely happened, and they invested way more than they could afford into stocks.

Answer: False

The Crash only triggered the Depression. The underlying causes were complex, including an unsatisfactory banking system, overheating in the economy, speculation and high levels of investment at a time when there was relatively little significant technologcial innovation, except in radio and the cinema.

Answer: John Steinbeck

John Steinbeck is well known for his highly acclaimed novels "Of Mice and Men" and "The Grapes of Wrath", both set during the Great Depression.

Answer: Herbert Hoover

Herbert Hoover who was a Republican, though not quite as 'laissez faire' as is sometimes believed, was widely blamed for the widespread economic distress, and people living in little rows of shacks called them "Hoovervilles" as an insult to him.

Answer: Migrant workers from Oklahoma and other states in the "Dust Bowl"

Obviously, the term "Okies" originally referred to people from Oklahoma, but it was applied to migrant farm workers (and farmers) from the dust bowl. Parts of west and southwest America had a series of very dry summers, and high winds. A lack of good soil caused waves of dust to fly around. This ruined crops and farmers couldn't pay bills.
[ There was a severe agricultural depression in addition to the industrial depression. ]

Answer: none of these

Eleanor Roosevelt was FDR's wife and a distant relation. She travelled for him while he was sick, and had very humane beliefs, example, she was against the Jim Crow laws.

Answer: The New Deal

There were several programs established in the New Deal, including the CCC, the PWA, and the FDIC. There were actually two New Deals.

Answer: Hoovervilles

These were little one room shacks occupied by poor families during the Depression, named after Hoover because they blamed him for their troubles.

Answer: WWII

The beginning of WWII caused a need for more production and more jobs and helped America out the slump behind it. (In Europe, large-scale re-armament from 1934-35 onwards played a key role in ending the depression there, too).