Ch 9 Great Depression

Reconstruction Finance Corporation

. set up in 1932 to allow the government to make loans to businesses

were forced to close

As a result of the stock market crash, some banks suffered more losses than they could absorb and

raise prices by reducing supply

As creditors foreclosed on nearly one million farms between 1930 and 1934, some farmers destroyed their crops in a desperate attempt to

customers lost their saving if banks collapsed

At the time of the stock market crash, the government did not insure bank deposits, so

with mostly borrowed money

Buying on margin was a method of buying stocks

provided a release from daily worries

During the 1930s, many Americans preferred movies, radio programs, and other forms of popular entertainment that

soup kitchens

During the Depression, charities set up ____________________ to give poor people meals.

movies and radios

During the Depression, most people were able to enjoy which two popular forms of entertainment?

Hoovervilles

During the Depression, newly homeless people put up communities of shacks that they called

terrible drought that dried up the soil

Farmers on the Great Plains began to lose their crops during the Depression because

make loans to business

In 1932 President Hoover asked Congress to set up the Reconstruction Finance Corporation in order to allow the government to

rode the rails

In search of work or a better life, many unemployed people

increased government spending

President Herbert Hoover did not want the government to create as many new jobs as the millions of unemployed people needed because that would require

provide jobs lost in the private sector

President Herbert Hoover hoped that increasing government funding for public works projects would

only state and city government should dole out relief

President Hoover opposed direct federal relief to the unemployed because he believed that

lingering depression

President Hoover's image was tarnished by the rout of the Bonus Marchers, as well as by the

investors began to sell their stock

Stock prices first began to decline in late 1929 because

margin call

Stockbrokers who made loans that allowed investors to buy stocks could issue a ____________________ to protect their loans.

the uneven distribution of income

The Depression had deep roots in the economy of the 1920s, including overproduction, high tariffs, missteps by the Federal Reserve, and

Snow White and the seven dwarfs

The first feature-length animated film was

banks had invested their deposit in the stock market

The stock market crash weakened the nation's banks because

Black Tuesday

The stock market took its steepest dive on October 29, 1929, the day now known as

pass legislation giving veterans their promised bonus early

Thousands of World War I veterans came to Washington, D.C., in 1932 to lobby Congress to

homeless and unemployed

To portray life around them, artists and writers of the 1930s often used ____________________ as subjects in their work.

camped in vacant building in Washington D.C.

When the Senate voted down a bill that promised an immediate $1,000 bonus to each veteran of World War I, some veterans

Speculators

____________________ invested in stocks, betting that the market would continue to climb so that they could make a quick profit.

bull market

a long period of rising stock prices

overproduction

companies make more goods than people can buy, causing a decrease in sales

interest rates

if they remain too low, banks make risky loans and companies expand too much

Douglas MacArthur

led the troops that dispersed the Bonus Army

speculation

making investments in hope that prices will go up, yielding a quick windfall

bank run

many depositors withdrawing their money at once

Okies

migrants from the Great Plains heading west in search of better lives

Grant Wood

painter of the 1930s who was part of the regionalist school

Emergency relief and construction act

reluctantly signed by President Hoover to supply relief funds to states

margin call

stockbroker's demand for immediate repayment of a loan used to buy stock

Black Tuesday

the biggest drop of the 1929 stock market crash

budget deficit

the result when the government spends more than it collects in taxes

bank run

when many depositors decide to withdraw their money at one time

William Faulkner

writer who showed what characters were thinking before they spoke