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AP US History Unit Test The Depression and New Deal Unit Test 2018 Questions 1-5 Relate to the Passage Below "It is to be feared that the agitation[criticism]against speculation in Wall Street is very largely a case of sour grapes. It is felt that some people are making money with apparent ease and it is known that they are making it in Wall Street, which is always an object of distrust to the demagogue. The radical politician feels that he must show injury to others somehow. Without the slightest knowledge of the stock market and its almost automatic safeguards, he says that the speculation is a danger to the country." Gambling and Speculation” The Wall Street Journal, May 15, 1928 1. What was the basic economic problem that surrounded margin lending? a. The small investor entered the market when stock values were at an all time low. b. The only stocks available to small investors were those high value "blue chip stocks" c. The small investor was unused to fluctuations in over -all stock values. d. The small investor had invested in stock related 401K pension funds 2. The article expressed the general 1920s viewpoint among many analysts that speculation in the market was a. Very dangerous and bound to lead to a serious correction b. That there were stop gap measures that would preclude a serious collapse. c. That the Federal government would intervene if prices dropped too quickly d. That the laws of supply and demand would keep over-production at bay. 3. The involvement of commercial banks in stock market was outlawed by a. The Securities and Exchange Commission Act b. Federal Reserve Act c. The Glass-Steagall Act d. The Federal Trade Commission Act 4. Which Progressive initiative should have regulated the activities of the banking and financial institutions? a. The Securities and Exchange Commission Act b. Federal Reserve Act c. The Glass-Steagall Act d. The Federal Trade Commission Act 5. What aspect of the 1920s economy generated general instability in the stock market? a. Watered stock values b. The volatility of technology stocks c. Margin lending d. The volatility of railroad stocks 1 | Page

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AP US History Unit TestThe Depression and New Deal Unit Test 2018

Questions 1-5 Relate to the Passage Below"It is to be feared that the agitation[criticism]against speculation in Wall Street is very largely a case of sour grapes. It is felt that some people are making money with apparent ease and it is known that they are making it in Wall Street, which is always an object of distrust to the demagogue. The radical politician feels that he must show injury to others somehow. Without the slightest knowledge of the stock market and its almost automatic safeguards, he says that the speculation is a danger to the country."

Gambling and Speculation” The Wall Street Journal, May 15, 1928

1. What was the basic economic problem that surrounded margin lending?a. The small investor entered the market when stock values were at an all time low.b. The only stocks available to small investors were those high value "blue chip stocks"c. The small investor was unused to fluctuations in over -all stock values.d. The small investor had invested in stock related 401K pension funds

2. The article expressed the general 1920s viewpoint among many analysts that speculation in the market wasa. Very dangerous and bound to lead to a serious correctionb. That there were stop gap measures that would preclude a serious collapse.c. That the Federal government would intervene if prices dropped too quicklyd. That the laws of supply and demand would keep over-production at bay.

3. The involvement of commercial banks in stock market was outlawed bya. The Securities and Exchange Commission Act b. Federal Reserve Actc. The Glass-Steagall Act d. The Federal Trade Commission Act

4. Which Progressive initiative should have regulated the activities of the banking and financial institutions?a. The Securities and Exchange Commission Act b. Federal Reserve Actc. The Glass-Steagall Act d. The Federal Trade Commission Act

5. What aspect of the 1920s economy generated general instability in the stock market?a. Watered stock values b. The volatility of technology stocks c. Margin lending d. The volatility of railroad stocks

Questions 6 - 8 Relate to the Image Below

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6. Which of the following factors was most responsible for creating the conditions depicted in the photograph? a. The transition from a rural society to an urban one b. Episodes of credit and market instability c. Political corruption d. The failure of Progressive reforms

7. In response to the conditions depicted in the photograph above, many American families a. advocated for overseas expansion b. disrupted society with racial strife. c. migrated within the United States d. resented President Roosevelt’s unwillingness to use

government power to provide them with relief.

8. Which lasting New Deal legislation was designed to remedy the issue presented in the image? a. The Securities and Exchange Commission b. The Home Owners Loan Corporation c. The Federal Housing Act d. The Farm Securities Act

Questions 9 - 11 Relate to the Passage Below“[Franklin] Roosevelt locked one group out of his honeymoon suite. The bankers and financiers, the rhetorical devils of his presidential campaign, were now resented or hated by millions of Americans. Even Hoover placed much of the blame for the stock market crash on speculation and poor banking ethics….The Emergency Banking Act…provided for the inspection of banks and certification of soundness before reopening. It may have saved the private banking system. The subsequent Glass-Steagall Act of 1933 provided for Federal Reserve regulation of bank investments…and created a Federal Depositors Insurance Corporation to insure small depositors, all of which strengthened banks and gave protection to the most innocent depositors.”

Paul K. Conkin, The New Deal, 1992

9. The reforms described in the excerpt above were most directly a response to a. the decline of America’s rural, agricultural society.b. internal U.S. migration during first two decades of the 20th century.c. episodes of market and credit instability.d. the decline of large corporations during the 1920s.

10. The primary goal of the legislation described in the excerpt above was to a. foster a long-term political realignment. b. make society and individuals more secure.c. provide relief to the poor. d. limit the scope of the New Deal.

11. The policies illustrated in excerpt above were most clearly contrary to a. laissez-faire capitalism.

b. Progressive reforms to regulate abuses of the economy.c. transforming the U.S. into a limited welfare state.

d. the goals of the Populist movement.

Questions 12- 15 Relate to the Passage Below“. . . Suddenly the papers were filled with accounts of highway picketing by farmers around SiouxCity. A Farmers’ Holiday Association had been organized by one Milo Reno, and the farmerswere to refuse to bring food to market for thirty days or “until the cost of production had beenobtained.” . . .The strike around Sioux City soon ceased to be a local matter. It jumped the Missouri River and crossed the Big Sioux. Roads were picketed in South Dakota and Nebraska as well as in Iowa.Soon Minnesota followed suit, and her farmers picketed her roads. North Dakota organized.Down in Georgia farmers dumped milk on the highway. For a few days, the milk supply of NewYork City was menaced. Farmers in Bucks County, Pennsylvania, organized, and potato farmersin Long Island raised the price of potatoes by a “holiday.” This banding together of farmers formutual protection is going on everywhere, but the center of this disturbance is still Iowa and the

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neighboring States. The Milk Producers’ Association joined forces with the Farmers’ Holiday. All the roads leading to Sioux City were picketed. Trucks by hundreds were turned back. Farmers by hundreds lined the roads. They blockaded the roads with spiked telegraph poles and logs. They took away a sheriff’s badge and his gun and threw them in a cornfield. Gallons of milk ran down roadway ditches. Gallons of confiscated milk were distributed free on the streets of Sioux City. . .

Mary Heaton Vorse, “Rebellion in the Cornbelt,” Harper’s Magazine December 1932

12. Which of the following situations best describes the impact that World War One had upon 1920s farm prices?a. Wartime tariffs were removed following the war sending farm prices tumbling.b. Post-war tariffs were enacted creating lower farm pricesc. The end of post war government contracts coupled with overproduction sent prices to record highsd. The war generated unusually high farm commodity prices.

13. Which statement best describes 1920s governmental action to deal with the troubled farm sector?a. The McNairy-Haugen Bill was passed by the Coolidge Administration giving generous farm loansb. The Farm Securities Act was passed allowing farmers to sell grain cheaply overseas.c. The passage of the Agricultural Adjustment Act set farm prices at a fixed rate for 5 yearsd. there was no appreciable legislation passed dealing with the plight of American farmers

14. Based upon the historical context of the source what strategy was being taken by farmers?a. They went on strike to demonstrate their value to the nation.b. They were marching on Washington D.C. to demonstrate their anger.c. They were attempting to create scarcity in the farm sector.d. They were resisting FDR's passage of the Agricultural Adjustment Act.

15. In addition to the array of problems faced by American farmers, those in the South were faced witha. The Dust Bowl that whipped out millions of acres of grain.b. A boll weevil infestation that crippled the cotton yieldc. A sudden end of the sharecropping system which generated a labor shortaged. The weakening of support for new farming methods due to distrust of the Federal government

Questions 16-18 relate to the excerpt below“. . Brigades of Bonus Marchers converged on Washington [in 1932]. Congress had voted thebonus money, but for later. Some of these men might have been hustlers and perhaps there werea few Communists among them, but most were ex-soldiers who had served the nation [in WorldWar I], frightened men with hungry families. The ragged hordes blocked traffic, clung likeswarming bees to the steps of the Capitol. They needed their money now. They built a shack-townon the edge of Washington. Many had brought their wives and children. Contemporary reportsmention the orderliness and discipline of these soldiers of misfortune. . .

John Steinbeck, “Living With Hard Times,” Esquire Magazine, 1932

16. Why did the protestors described in the passage believe that they were owned money?a. It was payment of a veteran's pension for service in the Great Warb. It was because they had been overcharged on federal income taxesc. It was anger over FDR's passage of the Agricultural Adjustment Act.d. It was an example of a "Hooverville"

17. Conservative fears that the protest described above was the start of a communist revolution would have stemmed from all of the following events EXCEPT

a. The fear generated by the detonation of a terrorist device in the 1920sb. The announcement of the Communist International that revolution was to be exported against capitalist countriesc. The announcement that Eugene Debs would seek the nomination of the Socialist Party for President.d. The activism of socialists and communist in radical labor organizations such as the IWW

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18. The Bonus March ended whena. Congress enacted a limited pension planb. Congress enacted the Serviceman's Readjustment Actc. Hoover ordered the strike leaders arrested and thrown in jaild. The U.S. Army violently dispersed the marchers

Questions 19-21 relate to the passage below"The government should assume the function of economic regulation only as a last resort, to be tried only when private initiative, inspired by high responsibility, with such assistance and balance as government can give, has finally failed. As yet there has been no final failure, because there has been no attempt, and I decline to assume that this nation is unable to meet the situation."

FDR Speech to the San Francisco Commonwealth Club September 1932

19. The above excerpt refers to Roosevelt's apparent hesitation to commit to which of the following economic ideas?a. Supply-side theory b. Keynesian Economics c. Laissez-faire d. Trickle-Down theory

20. By 1933 in his "first Hundred Days FDR had committed himself to which of the following:a. Supply-side theory b. Keynesian Economics c. Laissez-faire d. Trickle-Down theory

21. The most revolutionary act of "first Hundred Days" wasa. The removal of the U.S. from the gold standard to allow for deficit spending.b. The initiation of a bimetallic currency structure to extend public credit.c. The creation of a bank holiday to stop bank foreclosuresd. The end of trading of the New York Stock Exchange

Questions 22-25 relate to the passage below“In our efforts for recovery we have avoided, on the one hand, the theory that business should and must be taken over into an all-embracing Government. We have avoided, on the other hand, the equally untenable theory that it is an interference with liberty to offer reasonable help when private enterprise is in need of help. The course we have followed fits the American practice of Government, a practice of taking action step by step, of regulating only to meet concrete needs, a practice of courageous recognition of change.”

Franklin D. Roosevelt, “Greater Security for the Average Man”, 1934

22. The approach Franklin Roosevelt outlines in the speech above is most consistent with the previous efforts ofa. Radical Republicans during Reconstruction.b. Populist farmer organizations during the late 19th century.c. The women’s rights movement in the late 19th and early 20th centuries.d. the Progressives in the early 20th century

23. At the time of this speech in 1934, which of the following groups most opposed Roosevelt’s New Deal reforms?a. The Supreme Court b. Labor unions c. African Americans d. Populist movements

24. The principles championed by President Roosevelt in the speech above directly challenged the a. view that the United States should remain a nation based largely on agriculture.b. laissez-faire economic policies of the Gilded Age.c. the efforts by Progressives to institute social reforms at all levels of society.d. idea that large corporations had come to dominate the American economy.

25. Which new innovation allowed FDR to more effectively communicate his ideas to the American people.a. The creation of the transatlantic cable b. Early televisionc. Syndicated newspapers d. The advent of radio

Questions 26 - 27 Relate to the Image Below

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26. The Civilian Conservation Corps was created to remedy which Depression Era problem?a. Combating the problem of soil erosion in America's Farm Beltb. Teaching Midwestern Farmers new growing techniques to forestall the Dust Bowlc. Teaching young men skills and trades and providing Federal unemployment aidd. Repairing crumbling rural infrastructure

27. The CCC was unique among New Deal programs because a. It provided jobs for women as well as men.b. It built roads and bridges in major urban areas across the nationc. It targeted young men from the countrysided. It was administered as a part of the U.S. Army

Questions 28 - 30 Relate to the Image Below

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28. The image to the left most accurately depictsa. a massive fire in New York City b. The environmental effects of strip miningc. The environmental effects of the Dust Bowl d. The environmental impact of heavy industry

29. Which region saw an influx of internal migrants due to both the Dust Bowl during the Great Depression and industrial development during World War II?

a. The Northeast b. The South c. The Midwest d. The West

30. . In John Steinbeck's famous Depression Era work The Grapes of Wrath, the Joad family left Oklahoma for what destination?

a. Chicago Illinois b. California c. Las Vegas d. Washington State

Questions 31 - 33 Relate to the Passage Below"The Constitution established a national government with powers deemed to be adequate, as they have proved to be both in war and peace, but these powers of the national government are limited by the constitutional grants. Those who act under these grants are not at liberty to transcend the imposed limits because they believe that more or different power is necessary. Such assertions of extra-constitutional authority were anticipated and precluded by the explicit terms of the Tenth-Amendment,—“The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people.”

United States Reports. Vol. 295. Cases adjudged in The Supreme Court in October Term 1934. From April 1 (concluded) to and including June 3, 1935. Ernest Knaebel Reporter. (Washington, D.C.: United States Government Printing Office, 1935

31. Which of the following cases related to the above statement?a. Wisconsin v Yoder b. Schechter v U.S.c. Schenk v. U.S. d. Northern Securities v. U.S.

32. The case above partially dismantled which New Deal program as it was ruled unconstitutional?a. The Securities and Exchange Commission b. The Federal Deposit Insurance Corporation c. The Civilian Conservation Corps d. The National Recovery Act

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33. Franklin Roosevelt reacted to the above Supreme Court ruling bya. Replacing the Chief Justice of the Supreme Court.b. Calling for additional judges to be added to the High Courtc. Replacing the Attorney Generald. Calling for a Constitutional Amendment to circumvent the ruling

Questions 34- 35 Relate to the Image Below

34. The 1936 mural to the left by Arthur Covey was most likely commissioned by which New Deal agency a. Social Security Administration b. The Works Progress Administration c. The Federal Emergency Relief Administration d. Civilian Conservation Corps

35. Aid to the workers in the painting would most likely have been provided by a. National Recovery Administration b. The Agricultural Adjustment Administration c. The National Youth Administration d. Civilian Conservation Corps

Questions 36 - Relate to the Passage Below" For those now young or even middle-aged, a system of compulsory old-age insurance will enable them to build up, with matching contributions from their employers, an annuity from which they can draw as a right upon reaching old age. These workers will be able to care for themselves in their old age, not merely on a subsistence basis, which is all that gratuitous pensions have anywhere provided, but with a modest comfort and security. Such a system will greatly lessen the hazards of old age to the many workers who could not, unaided, provide for themselves and would greatly lessen the enormous burden of caring for the aged of future generations from public funds. The voluntary system of old-age annuities is designed to cover the same income groups as does the compulsory system, but will afford those who for many reasons cannot be included in a compulsory system an opportunity to provide for themselves. Many of you will be interested to know that the two proposed annuity systems in no way infringe on the commercial annuity markets. Officials of insurance companies have themselves remarked that these measures would

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touch a strata of our population for whom commercial annuities are prohibitively expensive. These officials feel that the measures we propose will prove advantageous to their companies rather than the reverse, in so far as they promote public interest in the insurance movement."

Francis Perkins, National Radio Address delivered February 25, 1935

36. The radio address features the Secretary of Labor outlining the basis for which New Deal Program?a. The Federal Deposit Insurance Corporation b. The Social Security Actc. The Workmen's Compensation Act d. Medicare and Medicaid

37. The major criticism among Republican opponents of the initiative was thata. It would damage private insurance companies because of unfair competitionb. It was unconstitutional because Congress had no power to create such a taxc. That the plan was far too expensive to ever workd. That the plan merely copied but did not improve upon existing Republican proposals

38. Who was the inspiration behind the above legislative proposal?a. Father Charles Francis Coughlin b. Dr. Francis Townsendc. Senator Huey P. Long d. Vice President Harry Truman

Questions 39 - 42 Relate to the Passage Below" As time went by, I found that people no longer considered me a mouthpiece for my husband but realized that I had a point of view of my own with which he might not at all agree. Then I felt freer to state my own views. However, I always used some care, and sometimes, for example, I would send Franklin one of my columns about which I was doubtful. The only change he would ever suggest was occasionally in the use of a word, and that was simply a matter of style. Of course, this hands-off policy had its advantages for him, too; for it meant that my column could sometimes serve as a trial balloon. If some idea I expressed strongly—and with which he might agree—caused a violent reaction, he could honestly say that he had no responsibility in the matter and that the thoughts were my own. Though Franklin himself never tried to discourage me and was undisturbed by anything I wanted to say or do, other people were frequently less happy about my actions. I knew, for instance, that many of my racial beliefs and activities in the field of social work caused Steve Early and Marvin McIntyre [F.D.R.’s political advisers] grave concern. They were afraid that I would hurt my husband politically and socially, and I imagine they thought I was doing many things without Franklin’s knowledge and agreement. On occasion, they blew up to him and to other people. I knew it at the time, but there was no use in my trying to explain, because our basic values were very different. . . .

Eleanor Roosevelt, This I Remember, 1949

39. Based upon the excerpt, what seemed to be the area of concern most expressed by the First Lady?a. Fears that she might seem too socialist in here viewsb. Support for women's issues such as the Equal Rights Amendmentc. Fears that her views on racial issues might harm FDR's political supportd. The proper place for a woman in the field of social work

40. The excerpt suggests that FDR and his advisors might be concerned with the reactions ofa. House Republicans known as the Irreconcilablesb. The support of Conservative Republicans concerned about mid-term electionsc. The Southern Democratic wing of his own partyd. The support of Left Wing Democrats led by Huey P Long

41. The pattern of social worker turned political activist such as Eleanor Roosevelt could also be seen in the work ofa. Jane Addams b. Dorothea Dix c. Angela Grimkè d. Lucretia Mott

42. The precedent set by activist First Ladies could be compared to the work ofa. Michelle Obama b. Mary Todd Lincoln c. Laura Bush d. Roselyn Carter

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Questions 43 - 44 Relate to the passage below" A study by Judith McDonald, Anthony Patrick O'Brien and Colleen Callahan* examines the response of Canada, America's biggest trading partner. When Hoover was elected president, the Canadian prime minister, Mackenzie King, wrote in his diary that his victory would lead to “border warfare”. King, who had cut tariffs in the early 1920s, warned the Americans that retaliation might follow. In May 1930, with higher American tariffs all but certain, he imposed extra duties on some American goods—and cut tariffs on imports from the rest of the British empire.He promptly called a general election, believing he had done enough to satisfy Canadians' resentment. America, wrote the New York Times, was “consciously giving Canada inducements to turn to England for the goods which she has been buying from the United States.” Canadians agreed. King's Liberals were crushed by the Conservatives, who favoured and enacted even higher tariffs.

The Economist Magazine, The Battle of Smoot-HawleyDecember 18th 2008

43. What traditional concern over tariffs was expressed in this excerpt?a. That tariffs generally did not produce much revenue for the U.S. Treasuryb. That American tariffs often resulted in large boosts in revenue in some economic sectors.c. That American tariffs often led to foreign retaliatory measures.d. That tariffs were a direct cause of the Great Depression

44. Why do some economists see Republican trade policies as a factor bringing on the Depression?a. Tariffs created a trade imbalance with Canadab. Tariffs hampered British and French revenues making it difficult to pay back wartime loansc. Tariffs led to hyper-inflation and financial collapse in Germanyd. Tariffs led to rising farm prices in the U.S.

Questions 45 - 46 Relate to the Passage Below" Roosevelt did not restore our economic system. He did not construct a new one. He substituted an old one which lives upon permanent crises and an armament economy. And he did this not by a process of orderly architecture and building, but by a succession of blunders, moving one step at a time, in flight from one problem to another, until we are now arrived at that kind of states supported economic system that will continue to devour a little at a time the private system until it disappears altogether. He did not restore our political system to its full strength. One may like the shape into which he battered it, but it cannot be called a repair job. He changed our political system with two weapons blank check congressional appropriations and blank check congressional legislation. In 1933, Congress abdicated much of its power when it put billions into his hands by a blanket appropriation to be spent at his sweet will and when it passed general laws, leaving it to him, through great government bureaus of his appointment, to fill in the details of legislation."

John T. Flynn, The Roosevelt Myth (1944)

45. Based upon the tone of the excerpt which of the following FDR actions would have been most criticized by the author:

a. The Emergency Banking Act 1933b. The Social Security Act 1935c. The Tennessee Valley Authority Act 1933d. The Securities and Exchange Commission Act 1934

46. Based upon the article the author implies that the New Deala. Saved American capitalism with an infusion of socialismb. Destroyed American capitalism in the short term so that it could be saved in the long run.c. Fundamentally threatened both the economic and political systemd. Made America a communist utopia

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Questions 47 - 48 is based upon the Map

47. The development of the Tennessee Valley Authority did all of the following EXCEPTa. Created cheap electrical power b. Forced private utilities out of businessc. Created rich and cheap farmland d. Redirected major rivers

48. One criticism of the TVA project wasa. It forced private utilities out of business.b. It effectively ended sharecropping in Tennessee without compensating plantersc. It unfairly provided economic incentives to the poorest areas of the U.S.d. It led to more socialism in other economic sectors

Questions 49 -50 Relate to the Passage Below" There is not a scintilla of truth in the wide-spread propaganda to the effect that this bill would tend to create a so-called "labor dictatorship." It does not encourage national unionism. It does not favor any particular union. It does not display any preference toward craft or industrial organizations. Most important of all, it does not force or even counsel any employee to join any union if he prefers to deal directly or individually with his employers. It seeks merely to make the worker a free man in the economic as well as the political field. Certainly the preservation of long-recognized fundamental rights is the only basis for frank and friendly relations in industry.The erroneous impression that the bill expresses a bias for some particular form of union organization probably arises because it outlaws the company-dominated union. Let me emphasize that nothing in the measure discourages employees from uniting on an independent- or company-union basis, if by these terms we mean simply an organization confined to the limits of one plant or one employer. Nothing in the bill prevents employers from maintaining free and direct relations with their workers or from participating in group insurance, mutual welfare, pension systems, and other such activities. The only prohibition is against the sham or dummy union which is dominated by the employer, which is supported by the employers, which cannot change its rules or regulations without his consent, and which cannot live except by the grace of the employer's whims. To say that that kind of a union must be preserved in order to give employees freedom of selection is a contradiction in terms. There can be no freedom in an atmosphere of bondage. No organization can be free to represent the workers when it is the mere creature of the employer.Equally erroneous is the belief that the bill creates a closed shop for all industry. It does not force any employer to make a closed-shop agreement. It does not even state that Congress favors the policy of the closed shop. It merely

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provides that employers and employees may voluntarily make closed-shop agreements in any State where they are now legal. Far from suggesting a change, it merely preserves the status quo."

Senator Robert F. Wagner, Speech Congressional Record, 74th Cong.(February 21, 1935).

49. Which piece of New Deal legislation is being defended in the above speech?a. The Fair Labor Standards Act b. The Wagner Actb. The Workmen's Compensation Act d. The Social Security Act

50. Upon its passage, the above legislation provided for all of the following EXCEPTa. A minimum wage for all workersb. The mandatory 8 hour work dayc. Federal injury compensationd. A national labor relations board

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