Question

Look at the graph. Then answer the question that follows. The stock market crashed on October 29, 1929, ushering in the Great Depression. Based on the data in the graph, what conclusion can be drawn about unemployment? A) Unemployment can rise suddenly in response to economic crashes, but recovery can be slow and take many years. B) Unemployment rates will slowly decline in response to sudden economic collapses, but will rebound quickly after the crash is over. C) The only event that could lower skyrocketing unemployment during the Great Depression was the US entry into World War II. Eliminate D) After the stock market crash, unemployment rates rose slowly but steadily over the next decade as the Great Depression deepened over time.

Answer 1

Answer: A - unemployment can rise suddenly in response to economic crashes, but recovery can be slow and take many years

Answer 2

The conclusion drawn from the stock market crash of 1929 is that unemployment can surge abruptly in economic crashes, with recovery being a slow and prolonged process, as evidenced by the enduring impact of the Great Depression. Option A is the answer.

The stock market crash on October 29, 1929, marked the onset of the Great Depression, revealing a poignant conclusion about unemployment. The aftermath showcased that unemployment can swiftly escalate in response to economic crashes. The recovery, however, proved to be a protracted and gradual process, extending over many years. The Great Depression deepened over the next decade, illustrating that sudden economic collapses have enduring impacts on employment.

Contrary to a quick rebound, the persistence of elevated unemployment rates highlighted the complex and slow nature of economic recovery. This historical event underscored the challenges and prolonged consequences associated with mitigating unemployment following a severe economic downturn. The correct answer is option A.