UNIT 5 THE GREAT DEPRESSION EXPECTED
QUESTIONS WITH VERIFIED ANSWERS
Question 1.
Bull Market
ANSWER
A period of increased stock trading and rising stock prices (most of 1920s)
Question 2.
Bear market
ANSWER
A steady drop in the stock market over a period of time (1929-1930s)
Question 3.
buying on margin
ANSWER
Purchasing stock with a little money down with the promise of paying the balance sometime
in the future
Question 4.
margin call
ANSWER
demand by a broker that investors pay back loans made for stocks purchased on margin
Question 5.
Speculation
ANSWER
The practice of making high-risk investments in hopes of getting a big return
, Question 6.
Black Tuesday
ANSWER
October 29, 1929; date of the worst stock-market crash in American history and beginning of
the Great Depression.
Question 7.
Herbert Hoover
ANSWER
Republican candidate who assumed the presidency in March 1929 promising the American
people prosperity and attempted to first deal with the Depression by trying to restore public
faith in the community.
Question 8.
Bank run
ANSWER
A situation in which many of a bank's depositors try to withdraw their funds due to fears of a
bank failure
QUESTIONS WITH VERIFIED ANSWERS
Question 1.
Bull Market
ANSWER
A period of increased stock trading and rising stock prices (most of 1920s)
Question 2.
Bear market
ANSWER
A steady drop in the stock market over a period of time (1929-1930s)
Question 3.
buying on margin
ANSWER
Purchasing stock with a little money down with the promise of paying the balance sometime
in the future
Question 4.
margin call
ANSWER
demand by a broker that investors pay back loans made for stocks purchased on margin
Question 5.
Speculation
ANSWER
The practice of making high-risk investments in hopes of getting a big return
, Question 6.
Black Tuesday
ANSWER
October 29, 1929; date of the worst stock-market crash in American history and beginning of
the Great Depression.
Question 7.
Herbert Hoover
ANSWER
Republican candidate who assumed the presidency in March 1929 promising the American
people prosperity and attempted to first deal with the Depression by trying to restore public
faith in the community.
Question 8.
Bank run
ANSWER
A situation in which many of a bank's depositors try to withdraw their funds due to fears of a
bank failure
