HISET Social Studies Practice 2025 - Free HISET Social Studies Practice Questions and Study Guide

The beginning of the Great Depression is widely recognized as the stock market crash in 1929. This catastrophic event marked a significant decline in stock prices, leading to widespread financial panic and a loss of wealth for millions of investors. The crash not only triggered a severe economic downturn but also undermined consumer confidence, which resulted in reduced spending and investment. This sequence of events initiated a downward spiral in the economy, culminating in what would become known as the Great Depression, a period of prolonged unemployment, poverty, and hardship that affected not only the United States but also economies around the world.

The other events listed, while significant, did not serve as the catalyst for the Great Depression itself. The signing of the New Deal occurred several years later as a response to the economic crisis, the end of World War I contributed to economic shifts and instability but did not directly precipitate the Great Depression, and the Dust Bowl, which started in the early 1930s, compounded the struggles faced by farmers but was a consequence of the economic conditions rather than a trigger.