The Great Depression and the New Deal: Paper 2
- 2026-11-11
The Great Depression and the New Deal: Paper 2
Ten items on the banking crisis and the transmission chain, separating crash from depression and points from percentages.
Direct answers Items 1-3: stopping runs, unemployed youth, flood control and power. Items 4-6: markets versus the real economy, 21.7 points, European bank crisis. Items 7-9: 15 billion, the 1937-38 recession, about 60 per cent. Item 10: the crash was only a trigger.
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 | Intermediate |
02 Questions (10 items)
- FoundationWhat was the main purpose of the national bank holiday Roosevelt declared in March 1933?
- FoundationWhom did the Civilian Conservation Corps recruit, and what work did they do?
- FoundationWhat was the main work of the Tennessee Valley Authority, set up in 1933?
- IntermediateWhat is the difference between a crash and a depression?
- IntermediateAmerican unemployment rose from 3.2 per cent in 1929 to 24.9 per cent in 1933. By how many percentage points?
- IntermediateAmerican capital flowed home after 1929. What effect did that have on Europe?
- ChallengeThe government spends an extra 1 billion dollars and the multiplier is 1.5. By how much does total output rise?
- ChallengeIn 1937 Roosevelt cut spending while the Federal Reserve tightened. What followed?
- ChallengeNational product rose from 56.4 billion dollars in 1933 to 90.4 billion in 1937. What was the increase?
- Error redoError clinic: “The one-day crash of October 1929 directly caused the Great Depression.” What is wrong?
03 Answers and one-line notes
| # | Answer | One-line note |
|---|---|---|
| 1 | to stop the runs and restore depositor confidence | The holiday worked with the Emergency Banking Act: sound banks were checked and then reopened. |
| 2 | unemployed young men, planting trees and conserving soil | The CCC put young men to work in the countryside, combining relief with land improvement. |
| 3 | flood control, electricity and regional development | The TVA was an unusual piece of regional planning in which government built infrastructure directly. |
| 4 | a crash is a sharp market fall; a depression is a broad contraction of output, jobs and prices | The market fall was the trigger; the depression was a lasting contraction of the real economy. |
| 5 | 21.7 percentage points | 24.9 minus 3.2 is 21.7; that is a difference in points, not a percentage increase. |
| 6 | European banks ran into crisis, with Germany and Austria hit hardest | Post-war Europe had rebuilt on American loans; once the money left, banks and currencies followed. |
| 7 | 15 billion dollars | 10 x 1.5 = 15 billion, the multiplier effect. |
| 8 | the 1937-38 recession, with unemployment rising again | Support was withdrawn before recovery was secure, which shows how much timing matters. |
| 9 | about 60 per cent | (904 – 564) / 564 = 340 / 564, about 60 per cent. |
| 10 | wrong: the crash was only the trigger | The depression grew through bank failures, deflation and collapsing demand; it was not a one-day event. |
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.
Write the chain of cause and effect before the answer.Tutor Registration →
Questions and answers are written originally by the TutorZone team and are not taken from any school, publisher or examination authority paper. Every value is checked by computer.


