The Great Depression — Practice Quiz

New Deal

Step 1: When Roosevelt came to power in March 1933, the American economy was in deep crisis. Step 2: He introduced a package of reforms and relief programmes known as the 'New Deal.' Step 3: The New Deal aimed to boost the economy, stabilise production, increase wages, and raise purchasing power. Step 4: 'Fair Deal' was associated with President Truman and 'Great Society' with President Lyndon B. Johnson — both are from different eras. Step 5: 'Square Deal' was associated with President Theodore Roosevelt, an entirely different president.

Public Works Administration

Step 1: As part of the New Deal, Roosevelt set up multiple agencies to revive different sectors of the economy. Step 2: The Public Works Administration (PWA) was set up specifically to supervise the construction of heavy industries. Step 3: The National Recovery Administration (NRA) was a separate body created to end competition among firms — firms that cooperated were given the 'Blue Eagle' badge. Step 4: The Tennessee Valley Authority (TVA) was created to build dams, produce hydroelectricity, and improve farming in the Tennessee Valley — a different purpose. Step 5: So while all options are

He believed the Depression was caused by public panic and wanted to restore confidence

Step 1: Roosevelt said this when he took office in March 1933, at the peak of the economic crisis. Step 2: One major reason the Depression worsened was that people panicked — they rushed to withdraw money from banks, causing more banks to collapse. Step 3: Roosevelt's quote was meant to calm public fear and restore confidence in the banking system. Step 4: His first action was to close all banks, reorganise them, and then reopen them to assure people their money was safe. Step 5: The quote had nothing to do with military threats or the Supreme Court — those were separate issues he dealt with l

Build dams to promote irrigation, supply electricity, and prevent floods

Step 1: The Tennessee Valley region had land that became barren by 1933 due to over-farming. Step 2: Roosevelt started the Tennessee Valley Authority as a government-financed corporation. Step 3: Its main purpose was to build dams across the river to promote irrigation, supply electricity, and prevent floods. Step 4: The hydroelectricity generated also helped produce cheap fertilisers, improving agriculture in the region. Step 5: The other options describe different New Deal programmes — stock market regulation was a separate 1934 Act, social security was the 1935 Social Security Act, and heav