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The Great Depression and the New Deal: Paper 1
The Great Depression and the New Deal: Paper 1
Ten items on the size of the crash and the unemployment figures, separating crash, depression and deflation.
Direct answers Items 1-3: 89 per cent, 25 per cent, the New Deal. Items 4-6: 60 dollars, 133 dollars, 46 per cent. Items 7-9: premature tightening, reform, not a total failure. Item 10: property rights remained.
01 Paper details (check answers afterwards)
| Item | Detail |
|---|---|
| Questions | 10 |
| Suggested time | 20 |
| Difficulty mix | Foundation 3 · Intermediate 3 · Challenge 3 · Error redo 1 |
| Chapter | Chapter: DSE History The Great Depression and the New Deal |
| Level | Basics |
02 Questions (10 items)
- FoundationIn October 1929 the Dow fell from 381 to 41 by 1932. What was the fall?
- FoundationRoughly how high did unemployment in the United States reach in 1933?
- FoundationWhat is the name given to the measures Roosevelt introduced after taking office in 1933?
- IntermediatePrices fell about 25 per cent between 1929 and 1933. A basket costing 80 dollars in 1929 cost about how much in 1933?
- IntermediateA debtor owes 100 dollars while prices fall 25 per cent. What is the real burden in money of the old price level?
- IntermediateAmerican national product fell from 103.6 billion dollars in 1929 to 56.4 billion in 1933. What was the fall?
- ChallengeUnemployment fell by 1937 but rose again to about 19 per cent in 1938. What was the main cause?
- ChallengeWithin the three kinds of New Deal measures, which kind does the 1935 Social Security Act belong to, and why?
- ChallengeUnemployment only fell below 2 per cent during the Second World War. Does that mean the New Deal failed completely?
- Error redoError clinic: “The New Deal was socialism and abolished private property.” What is wrong?
03 Answers and one-line notes
| # | Answer | One-line note |
|---|---|---|
| 1 | about 89 per cent | (381 – 41) / 381 = 0.892, that is about 89 per cent. |
| 2 | about 25 per cent, one worker in four | When the New Deal began, unemployment stood near one quarter of the labour force. |
| 3 | the New Deal | The New Deal answered the Depression with relief, recovery and reform. |
| 4 | about 60 dollars | 80 x 0.75 = 60; falling prices are deflation. |
| 5 | about 133 dollars | 100 / 0.75 is about 133; deflation makes debt heavier in real terms. |
| 6 | about 46 per cent | (1036 – 564) / 1036 = 472 / 1036, about 46 per cent. |
| 7 | premature cuts in spending and tighter money | The 1937 spending cuts and monetary tightening broke the recovery and produced the 1937-38 recession. |
| 8 | reform: it built pensions and unemployment insurance | Relief meets immediate need, recovery stimulates output, reform changes institutions; the Act built institutions. |
| 9 | no: it cut unemployment from about 25 to about 14 per cent by 1937 | The New Deal lowered unemployment and steadied the banks; full employment came with wartime mobilisation, so judge the two separately. |
| 10 | wrong: private property remained; it was state intervention | The New Deal enlarged the governments role and regulation but did not replace firms or property rights. |
04 What to do after marking
- After marking, redo only the wrong items and write down which step went wrong (formula, unit, or misread number).
- Repeat the same item two days later; move to the next paper only when both attempts are correct.
- Parents only need the answer and note columns; there is no need to explain every item.
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