Final answer:
The economic distress in Massachusetts during the Great Depression and stock market crash was caused by factors such as the collapse of political machines, limitations of welfare Capitalism, and blame placed on workers. Policymakers studied lessons from the Great Depression and used John Maynard Keynes' models to find solutions.
Step-by-step explanation:
The economic distress in Massachusetts during the Great Depression and stock market crash was primarily caused by factors such as the collapse of local political machines, the limits of welfare Capitalism, and the blame placed on workers by influential figures like Henry Ford.
Additionally, the stock market crash of 1929 set off the economic downturn, and the integral role of industries like automobiles and construction in the American economy worsened the situation as these industries suffered due to lack of funds for purchases and projects.
In terms of prevention, policymakers studied the lessons from the Great Depression and used John Maynard Keynes' models to analyze causes and find solutions.