A Level History - America - Practice Exam

Which act aimed to provide relief during the economic downturn following the Wall Street Crash?

1. Federal Home Loan Bank Act

2. Emergency Relief and Reconstruction Act

3. Reconstruction Finance Corporation

4. Glass-Steagall Act

The correct answer is: Emergency Relief and Reconstruction Act

The Emergency Relief and Reconstruction Act was designed to address the severe economic conditions that followed the Wall Street Crash of 1929. This act aimed to provide essential relief measures for those affected by the Great Depression, particularly focusing on unemployment and economic instability. It facilitated the distribution of funds to state and local governments, which could then be used to offer relief supplies and financial assistance to those in dire need. In contrast, the other acts had different focuses: the Federal Home Loan Bank Act was primarily aimed at home mortgage assistance; the Reconstruction Finance Corporation was established to provide financial support to banks, railroads, and other businesses rather than directly to individuals in need; and the Glass-Steagall Act, while crucial in reforming banking practices and separating commercial and investment banking, did not directly provide relief during the economic downturn. Thus, the Emergency Relief and Reconstruction Act stands out as the key legislation targeted specifically at providing immediate aid in response to the devastating impacts of the Wall Street Crash.