1. What happened on "Black Tuesday"?
Black Tuesday was when the markets fell to dangerous levels. A lot of people lost savings and people who had stocks were in debt, millions of dollars were lost.
2. How did the economic trends of the 1920s in industry, agriculture, and with consumers help cause the Great Depression? (Make sure you include significant details about each area in your answer. It should be at least a paragraph)
The main industries in the 1920s were railroads, textiles, and steal and they all were barely making a profit. Mining and lumbering was no longer needed because the war was over. Boom industries such as automobiles and construction diminished. When housing starts declined, a lot of jobs were lost. Agriculture suffered the biggest loss, after the war, demand for wheat and corn went down tremendously. Farmers produced more but this just made things worse because it decreased the prices. By the 1920s, Americans were buying less. Mainly because the prices were so high and there was an unbalanced distribution of income.


3. According to your reading, what are the major causes of the Great Depression?
The major causes of the Great Depression were that major industries like railroads and steel struggled, farmers grew more crops and harvested more livestock than they could sell for a profit, consumers and farmers were going into debt, prices were raised, the unbalanced distribution of wages, and overbuying of credit on previous years.


4. What was Hoover’s philosophy of government?
Hoover believed that one of government's chief functions was to foster cooperation between competing groups in society. Government's role was to facilitate and encourage cooperation, not to force it. He opposed any form of federal welfare.

5. What was Hoover’s initial reaction to the stock market crash of 1929?
He called together key leaders in the fields of business, banking, and labor. He urged them to work together to find solutions to the nation's economic woes. He also created an organization to help private charities generate contributions to the poor.
6. What was the nation’s economic situation in 1930?
It was very poor, the industries lost a lot of money, the agriculture overproduced so much so that the cost for wheat and corn went way down, and the prices of everything went way up, the economy was decreases rapidly in 1930.
7. How did voters in 1930 respond to this situation?
They were furious. The voters were making less money and they were cheated out because the wages were not fair, the economic situation was screwing with voters and it angered them.
8. What did Hoover do about the economic situation?
He signed into law the Federal Home Loan Bank Act which lowered mortgage rates for home owners and and allowed farmers to refinance their loans and avoid foreclosure. He also passed the Reconstruction Finance corporation that authorized up to two billion dollars for emergency financing for banks.
9. How did the economy respond to his efforts?
It responded negatively, despite all of the work and money that went into the RFC and the Federal Home Loan Bank Act, poverty continued, and the depression grew.