Unit 5 Test

Question 1

price support

Answer 1

the government would buy surplus crops at guaranteed prices and sell them on the world market

Question 2

credit

Answer 2

an arrangement in which a consumer agreed to buy now and pay later for purchases

Question 3

Dow Jones Industrial Average

Answer 3

It was the most widely used barometer of the stock market’s health. The Dow is a measure based on the stock prices of 30 representative large firms trading on the New York Stock Exchange.

Question 4

speculation

Answer 4

people bought stocks and bonds on the chance of a quick profit, while ignoring the risks

Question 5

buying on a margin

Answer 5

paying a small percentage of stock’s price as a down payment and borrowing the rest

Question 6

Black Tuesday

Answer 6

The bottom fell out of the market and the nation’s confidence. Shareholders frantically tried to sell before prices plunged even further.

Question 7

The Great Depression

Answer 7

the period from 1929 to 1940 in which the economy plummeted and unemployment skyrocketed

Question 8

Hawley-Smoot Tariff Act

Answer 8

It established the highest protective tariff in US history. Designed to protect American farmers and manufacturers from foreign competition, but had the opposite effect. By reducing the flow of goods into the US, the tariff prevented other countries from earning American currency to buy American goods.

Question 9

shantytowns

Answer 9

little towns consisting of shacks

Question 10

soup kitchens

Answer 10

offered free or low cost food to the poor

Question 11

Dust Bowl

Answer 11

Kansas, Oklahoma, Texas, New Mexico, and Colorado became plagued with dust storms and evictions

Question 12

direct relief

Answer 12

cash payments or food provided by the government to the poor

Question 13

Herbert Hoover

Answer 13

In his view, Americans needed to be optimistic and go about their business as usual. A period of rapid growth always follows a depression. Limited government role in solving problems.

Question 14

Federal Home Loan Bank Act

Answer 14

Passed in 1932, lowered mortgage rates for homeowners and allowed farmers to refinance their farm loans and avoid foreclosure.

Question 15

Reconstruction Finance Corporation (RFC)

Answer 15

Authorized up to $2 billion for emergency financing for banks, life insurance companies, railroads, and other large businesses

Question 16

Bonus Army

Answer 16

10,000+ WWI veterans and their families arrived in DC, from all over the country. Rebelled against Congress for not passing the Patman Bill, which authorized the government to pay a bonus to WWI veteran s who hadn’t been compensated for their service.

Question 17

FDR

Answer 17

Distant cousin of Theodore Roosevelt, reform-minded leader, working to combat the problems of unemployment and poverty

Question 18

New Deal

Answer 18

Roosevelt promised “a new deal for the American people.” Policies focused on: relief for the needy, economic recovery, and financial reform.

Question 19

Federal Securities Act

Answer 19

Required corporations to provide complete information on all stock offerings and made them liable for any misinterpretations

Question 20

AAA

Answer 20

Sought to raise crop prices by lowering production, which the government achieved by paying farmers to leave a certain amount of every acre of land unseeded.

Question 21

CCC

Answer 21

Put young men aged 18-25 to work on building roads, developing parks, planting trees, and helping in soil-erosion and flood control projects

Question 22

NIRA

Answer 22

Provided money to states to create jobs chiefly in the construction of schools and other community buildings

Question 23

deficit spending

Answer 23

spending more money than the government receives in the revenu

Question 24

Eleanor Roosevelt

Answer 24

She was a social reformer who combined her deep humanitarian impulses with great political skills

Question 25

WPA

Answer 25

Set out to create as many jobs as possible as soon as possible. Provided jobs for 8 million people. Produced public works of lasting value to the nation and gave working people a sense of hope and purpose.

Question 26

France’s Perkins

Answer 26

Became America’s first female cabinet member. As secretary of labor, she played a major role in creating the Social Security system and supervised labor legislation.

Question 27

Social Security Act

Answer 27

Created by Secretary of Labor Frances Perkins. 3 main parts: old age insurance for retirees 65+ and their spouses, unemployment compensation system, aid to families with dependent children, and the disabled.

Question 28

Mary McLead Bethune

Answer 28

An educator who dedicated herself to promoting opportunities for young African Americans.

Question 29

New Deal Coalition

Answer 29

An alignment of diverse groups dedicated to supporting r Democratic Party.

Question 30

“Gone with the Wind”

Answer 30

A 1939 movie dealing with the life of Southern plantation owners during the Civil War, one of the most popular films of all time

Question 31

Richard Wright

Answer 31

An African American author, wrote the novel “Native Son” which was about a young man trying to survive in a racist world

Question 32

“The Grapes of Wrath”

Answer 32

A 1939 movie which reveals the lives of Oklahomans who left the Dust Bowl and ended in California, where their hardships continued.

Question 33

FDIC

Answer 33

An agency created in 1933 to ensure individuals’ back accounts, protecting people against losses due to bank failures.

Question 34

SEC

Answer 34

An agency, created in 1934, that monitors the stock market and enforces laws, regulating the sale of stocks and bonds

Question 35

NLRB

Answer 35

The Wagner Act established it. Acts as a mediator in labor disputes between unions and employers.

Question 36

TVA

Answer 36

A federal corporation established in 1033 to construct dams and power plants in the Tennessee Valley region to generate electricity as well as to prevent floods.