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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Many homeless
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High inflation
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Increased national prosperity
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Massive unemployment
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Detailed explanation-1: -The U.S. economy shrank by a third from the beginning of the Great Depression to the bottom four years later. Real GDP fell 29% from 1929 to 1933. The unemployment rate reached a peak of 25% in 1933. Consumer prices fell 25%; wholesale prices plummeted 32%.
Detailed explanation-2: -Which of the following was the result of the Great Depression? Answer: [B] Increased trade barriers and devalued currencies. Notes: Every country which was involved in the Great Depression believed that by increasing trade barriers and devaluating their currencies it could manage to keep its economy afloat.
Detailed explanation-3: -Among the suggested causes of the Great Depression are: the stock market crash of 1929; the collapse of world trade due to the Smoot-Hawley Tariff; government policies; bank failures and panics; and the collapse of the money supply.
Detailed explanation-4: -Answer and Explanation: The correct answer is b.) The government became less involved in business activities.