INTER WAR YEARS 1919 TO 1939
THE GREAT DEPRESSION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Allow the economy to stabilize on its own
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Use government spending to help the economy
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Have the government take control over all aspects of the economy
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Laissez faire
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Detailed explanation-1: -In response to the Great Depression, Congress approved President Franklin Roosevelt’s New Deal, which provided $41.7 billion in funding for domestic programs like work relief for unemployed workers.
Detailed explanation-2: -Expansionary fiscal policy An expansionary fiscal policy means increasing government spending, reducing taxes, or a combination of both. Tax reduction gives consumers disposable income which, in turn, encourages spending.
Detailed explanation-3: -Economic liberals commonly adhere to a political and economic philosophy that advocates a restrained fiscal policy and a balanced budget through measures such as low taxes, reduced government spending, and minimized government debt.
Detailed explanation-4: -New Deal: (1933-1938) a series of domestic social programs and projects enacted by President Franklin D. Roosevelt in an effort to combat the crippling effects of the Great Depression. These programs included immediate economic relief, as well as reforms in industry, agriculture, and labor.