USA HISTORY

AMERICAN IMPERIALISM(1890 1919)

TREATY OF VERSAILLES

[SOURCES]
What happened as a result of the stock market crash of 1929?

(A) ** The Great Depression

(B) Economic revival

(C) Industrial Revolution

(D) The re-election of Hoover

EXPLANATIONS BELOW

Concept note-1: -The stock market crash of 1929 had a devastating effect on the culture of the 1930s. As investors, businesses, and farms lost money, they started to shutter and lay off workers. Banks closed as well. The Great Depression began in the 1930s, leading to soup kitchens, bread lines, and homelessness across the nation.

Concept note-2: -Business houses closed their doors, factories shut down and banks failed. Farm income fell some 50 percent. By 1932 approximately one out of every four Americans was unemployed.

Concept note-3: -The stock market crash of 1929 was not the sole cause of the Great Depression, but it did act to accelerate the global economic collapse of which it was also a symptom.

Concept note-4: -The stock market crash of October 1929 signaled the beginning of the Great Depression. By 1933, unemployment was at 25 percent and more than 5, 000 banks had gone out of business.