Roaring Twenties
Was the Roaring Twenties more of a Republican or Democratic decade?
Republican
Which group struggled economically during much of the 1920s despite overall economic growth?
American Farmers
Who was president during much of the Roaring Twenties?
Calvin Coolidge
What is GDP?
Gross Domestic Product
What event marked the beginning of the Great Depression?
Stock Market Crash
What was one major reason industrial workers prospered more than American farmers during the 1920s?
Industry was expanding while farmers struggled with falling crop prices and surpluses.
What did farmers purchase to increase their production?
Tractors and Other Machinery
Who Became President in 1929?
Herbert Hoover
What does GDP measure?
The total value of goods and services produced by a country.
What year did the Stock Market Crash occur?
1929
What term describes the total value of goods and services produced by a country?
GDP (Gross Domestic Product)
Why did many farmers take on large debts?
They borrowed money to buy land, tractors, and machinery.
What political party were both Coolidge and Hoover associated with?
Republican Party
What does "uneven distribution of wealth" mean?
Wealth was not distributed equally among Americans.
Name two causes of the Great Depression.
stock market speculation, bank failures, overproduction, unequal distribution of wealth, excessive credit/debt, and declining consumer demand.
What was one major characteristic of the economy during the Roaring Twenties?
Rapid industrial and consumer growth.
What happened when farmers produced more crops than they could sell?
Crop surpluses developed, causing prices to fall.
What was a major difference between Coolidge's and Hoover's approaches to government and the economy?
Coolidge favored limited government and a business-friendly approach. Hoover supported some government action but generally favored voluntary cooperation and limited federal intervention.
What helped partially hide problems in the American economy during the 1920s?
Expansion of Credit
What happened to many banks during the Great Depression?
Many banks failed.
Why could the 1920s appear prosperous even though some Americans were struggling financially?
Economic growth and increased use of credit helped hide problems such as unequal wealth distribution.
TRUE OR FALSE: Farmers were making huge amounts of money and getting richer during the 1920s.
FALSE
Why is understanding the political philosophies of Coolidge and Hoover important when studying the Great Depression?
Their beliefs influenced how the federal government approached economic issues before and during the beginning of the Depression.
Why was the gap between rich and poor a warning sign for the American economy?
Many people did not have enough income to sustain high levels of consumption, creating economic instability.
What was the Dust Bowl?
A period of severe dust storms and drought that devastated agricultural areas, especially in the Great Plains.