America's Great Depression Chapter 11

9 Questions | Total Attempts: 177

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Great Depression Quizzes & Trivia

This is a 10-question quiz on Chapter 11: The Hoover New Deal of 1932 of America's Great Depression by Murray Rothbard.


Questions and Answers
  • 1. 
    What was considered the most important part of Herbert Hoover's 9-point plan for economic recovery?
    • A. 

      Establishing the Public Works Administration to coordinate and expand Federal public works.

    • B. 

      Establishing the Reconstruction Finance Corporation to lend to banks, industries, and credit agencies.

    • C. 

      Direct loans of $300 million to the States.

    • D. 

      Bankruptcy law reform.

  • 2. 
    What was the largest percentage increase in the rate of personal income tax in the Revenue Act of 1932?
    • A. 

      8 percent

    • B. 

      25 percent

    • C. 

      100 percent

    • D. 

      167 percent

  • 3. 
    What tax did Hoover describe as "one of the most economically and socially desirable—or even necessary of all taxes.”
    • A. 

      The personal income tax.

    • B. 

      The corporate income tax.

    • C. 

      The estate tax.

    • D. 

      The manufacturer's sales tax.

  • 4. 
    By the time of its admitted failure in early 1932, how much had Hoover's public works program increased Federal construction from its level at the beginning of the depression in 1929?
    • A. 

      50 percent.

    • B. 

      100 percent.

    • C. 

      150 percent.

    • D. 

      800 percent.

  • 5. 
    What is the great similarity between the initial actions of Hoover's RFC and Bush's TARP?
    • A. 

      Both organizations refused to disclose their loan actitivies.

    • B. 

      Both organizations were instrumental in ending the economic crisis.

    • C. 

      Both organizations used the money to acquire auto manufacturers.

    • D. 

      Both organizations refused to make loans to banks.

  • 6. 
    How much of the RFC's $3.9 billion in loan credits and cash went to banks?
    • A. 

      9 percent.

    • B. 

      17 percent.

    • C. 

      52 percent.

    • D. 

      75 percent.

  • 7. 
    Roughly what percentage of total Federal revenues did the RFC's $3.9 billion in loans represent in 1932?
    • A. 

      34 percent.

    • B. 

      50 percent.

    • C. 

      78 percent.

    • D. 

      115 percent.

  • 8. 
    What does Rothbard suggest caused the brief economic upturn during the summer of 1932?
    • A. 

      The emergency RFC loans to the railroads.

    • B. 

      A 14 percent decline in the money supply.

    • C. 

      The Federal Reserve's purchase of government securities.

    • D. 

      The increase in commercial loans made by the banks.

  • 9. 
    What does Rothbard inform us causes panic among both banks and government?
    • A. 

      A decrease in the money supply.

    • B. 

      Interest rates being reduced to zero.

    • C. 

      Large-scale demand for cash.

    • D. 

      A decline in the number of mortgage applications.