What major event is commonly associated with the start of the Great Depression?

Study for the GED Social Studies Test. Practice with quizzes and multiple choice questions, each question offers hints and explanations. Get ready to excel on your exam!

The major event commonly associated with the start of the Great Depression is the stock market crash of 1929. This crash marked a significant economic downturn in the United States and served as a catalyst for the widespread financial devastation that followed. The collapse of stock prices resulted in a loss of confidence among investors and consumers, leading to reduced spending and investment. This further exacerbated the economic situation, contributing to bank failures, business bankruptcies, and massive unemployment.

The other events listed, while historically significant, do not directly relate to the onset of the Great Depression. The signing of the Treaty of Versailles in 1919 concluded World War I but did not have an immediate impact on the American economy that precipitated the Depression. The Dust Bowl, which occurred in the 1930s, was a severe drought that affected agricultural production but was a consequence of the economic circumstances rather than a cause. Similarly, World War I itself was a major conflict that preceded the Great Depression and is not a direct factor leading to it. Thus, the stock market crash is recognized as the pivotal moment that triggered the long-lasting financial crisis of the Great Depression.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy