InQuizitive: Chapter 24: The Reactionary Twenties

Complete the passage below regarding the economic and social status of women during the Great Depression. Although women had a lower rate of joblessness compared to men during the Great Depression, they were also tasked with providing emotional support to their families if their husbands were laid off. Due to their disproportionately low-paying jobs, women were often able to continue working while men with higher wages lost their jobs. As the economy worsened, however, some people claimed that women were "stealing" jobs from men. States consequently began passing laws barring married women from the workforce.

- lower - continue working - barring

What did President Herbert Hoover mean when he warned about the "orgy of mad speculation"? Complete the passage below regarding the status of the stock market and investment practices on the eve of the Great Depression. While the U.S. stock market had grown steadily since 1924, reckless speculation that began in 1927 contributed to a surge in the stock value of American companies. A specific investment practice that allowed stocks to be purchased "on margin" with a modest down payment enabled investors to borrow the rest of the money from a stockbroker. When stock values began to plummet, stockbrokers called in these "margin" loans, but investors, who had expected stock profits to cover these loans, weren't able to repay what they had borrowed.

- reckless speculation - "on margin" - stock profits

Watch the author video below, in which David Shi discusses Hoover's response to the onset of the Great Depression. Which of the following statements offer an accurate assessment of Hoover's efforts to resolve the crisis?

Correct answers: - Although ineffective, Hoover made an effort to reassure the American people that the worst was over and that things would get better. - Initially, Hoover brought together leaders in labor, industry, and agriculture for meetings and urged them to avoid firing workers. - Because of his commitment to a balanced federal budget, Hoover cut federal spending and raised taxes and tariffs—all efforts that backfired. Incorrect answers: - Hoover did far less than previous presidents to address the economic crisis.

Analyze the photograph below. Two children in "Hooverville" are seated next to a collection jar. One of the signs in the image reads, "Hard Times Are Still 'Hoover'ing Over Us." What does this photograph suggest about the Great Depression?

Correct answers: - Americans who were suffering from the problems of the Great Depression placed blame on President Hoover himself. - Farmers were among those who were adversely affected by the economic crisis. Incorrect answers: - Hoovervilles were community-housing tenements organized by the government in the wake of the economic crisis. - Americans' "natural generosity" often successfully lifted families out of poverty.

Which of the following statements reveal the impact of the Great Depression on families?

Correct answers: - Birth rates decreased. - Divorce rates declined as couples could not afford to live separately or pay the legal fees to separate. Incorrect answers: - Divorce rates increased as millions of jobless men abandoned their families. - More married women than ever before took the part-time, low-paying jobs available to them to help support their families.

What did Hoover believe to be the potential solution to the social crisis that emerged from the Great Depression?

Correct answers: - He believed that volunteer efforts by generous Americans and charitable groups would provide adequate relief. Incorrect answers: - Hoover's belief in the potential of relief programs was well founded and had a positive impact on homelessness and joblessness. - He believed that the government could provide relief by establishing more programs to combat poverty and unemployment.

What was Treasury secretary Andrew Mellon's initial approach to handling the economic crisis of the 1930s?

Correct answers: - He sought to let the economy work itself out. - He believed the liquidation of labor, stocks, real estate, and so on would make the most sense. Incorrect answers: - He strongly disagreed with Hoover and took drastic action, proposing a strategy of detailed economic planning. - He immediately began working on a structured plan for fixing the economy.

What was President Hoover's early approach to the Great Depression, and how did his strategy affect the economy's recovery?

Correct answers: - Hoover sought to convince business, labor, and other industry leaders to play their part in getting the economy back on track. - Hoover took an active role in attempting to end the Great Depression. - Hoover's efforts were unsuccessful. Incorrect answers: - Hoover's efforts to balance the budget helped curb the economic downturn for a brief period.

Which of the following statements accurately describe the experiences of minorities and women during the Great Depression?

Correct answers: - Hundreds of thousands of Mexican-born Americans and their American-born children were deported from the United States as a solution to overextended relief organizations. - Facing pervasive discrimination, African American industrial workers were often the "last hired, first fired" when the economy crashed. Incorrect answers: - As the Depression worsened, married women were encouraged to get jobs outside the home to contribute to their household income. - Because they held the most menial jobs, minorities rarely competed with whites for jobs and, as a result, tended to fare better during the Depression.

What impact did the stock market crash of 1929 have on the American economy?

Correct answers: - It exposed the shaky foundations of the 1920s economy. - It led to a widespread panic that deepened the economic crisis. Incorrect answers: - It caused the Great Depression. - It drove Americans to place all their available cash in banks to ensure its safety.

President Hoover, like many Republicans, supported congressional efforts to pass higher tariffs on imported goods. Leading Republican congressmen in the 1930s Reed Owen Smoot and Willis C. Hawley collaborated on a new tariff that had adverse effects on the economy and helped trigger the Great Depression. What was the objective of the Smoot-Hawley Tariff, and how did this bill contribute to the Great Depression?

Correct answers: - It sought to aid the struggling agricultural sector and other industries by eliminating foreign competition. - The tariff prompted numerous European countries to reduce their exports to the United States and imposed obstacles to selling American goods abroad. Incorrect answers: - It sought to pump money into the U.S. economy by putting a six-month hold on all domestic tariffs. - The tariff divided the nation between industry and agriculture as manufacturers sought to defeat the bill for fear it would hurt their industry.

Which of the following statements accurately describe the Bonus Army and its consequences?

Correct answers: - Many Bonus Army members remained near the Capitol with their families and erected a "Hooverville" as a public demonstration of their discontent. - Thousands of World War I veterans and their families went to the Capitol to press Congress to deliver the payment of a bonus promised to them for their military service. Incorrect answers: - The Bonus Army incident attracted public sympathy for Hoover, as it made him seem more human and kind in the midst of the Depression. - The Bonus Army was a violent group that formed with the purpose of physically attacking Hoover and his administration, punishing them for their handling of the Great Depression.

Watch the video before answering the question below. Which of the following statements describe major causes of the Great Depression?

Correct answers: - There was a major gap between how efficiently and how much the American economy produced and the ability of American consumers to purchase those goods. - New technologies of the early twentieth centuries allowed companies to produce at higher levels with greater efficiency. - Wages for workers were not rising at the same pace as production. Incorrect answers: - As American industries struggled to churn out enough products, goods became scarce and prices soared, making them unattainable for even the wealthiest consumers.

The causes of the Great Depression continue to be debated by economists, though many argue that it was a combination of various factors that led to the economic collapse. What were some of these contributing factors?

Correct answers: - There were more goods in circulation than Americans could afford to buy. - High tariffs were imposed by the U.S. government to protect domestic companies. Incorrect answers: - The Federal Reserve invested in failing banks and industries. - The agricultural sector began to be more profitable than the manufacturing sector, which resulted in a wave of factory closures. - The state of Europe's economy spurred a massive influx of foreign capital into American markets.

How did Roosevelt's vision in the 1932 presidential election differ from that of Hoover, the incumbent president?

Correct answers: - Unlike Hoover, Roosevelt offered an uplifting message of hope. - Roosevelt was a strong believer in experimenting with new and bold strategies to revive the economy. Incorrect answers: - Roosevelt believed in relying on past solutions to economic crises in order to avoid any surprises. - Roosevelt created a plan that he vowed not to deviate from in order to get the economy back on track.

During the early years of the economic downturn, national observers noted both the outpouring of support for government relief efforts and how local businesses united in their attempts to keep workers employed and the economy afloat.

False

Hoover's response to the Bonus Expeditionary Force protest revealed his concern for the plight of unemployed and desperate Americans. Hoover supported the demands of the veterans for increased benefits, but could not persuade Congress to spend the extra money.

False

The success of the Democratic party in the 1930 midterm election forced Hoover to alter his strategy on the economy in order to gain public support.

False

Identify the following economic acts or strategies that occurred during the economic crisis of the 1930s.

Hoover's response to calls for federal aid for struggling Americans to finance construction projects at the state level - Emergency Relief Act a major tax increase that was poorly timed and further contributed to the economic crisis - Revenue Act of 1932 an attempt by Congress, supported by Hoover, to aid banks and other struggling entities by providing them with emergency loans - Reconstruction Finance Corporation

Match the trigger or cause of the Great Depression with its description.

Increasing the cost of imports led to higher prices for raw materials and manufactured goods. - high tariffs American factories were manufacturing fewer and fewer goods. - drop in the gross domestic product Business owners did not share their large profits by raising workers' wages, making workers less and less able to buy goods. - decline in consumer purchasing power and spending Falling stock prices led investors to sell their stocks frantically at enormous losses. - financial panic Farmers' income declined drastically as prices for agricultural goods dropped. - weak agricultural sector