It was the "oil crisis" that was one major cause of the recession in the United States in the 1970s, since many countries in the Middle East cut prices to manipulate prices. This put a focus on alternative energy sources that continues today.
<span>(true or false) Under the Articles of Confederation, there was a strong system of national courts. false. (true or false) One of the positive features of the Articles of Confederation was a strong federal judiciary. true. (true or false) In the common law system, the judiciary was not only interpreting the law but was also creating the ...</span><span>
</span>
Answer:
B. caused a major reduction in international trade
Explanation:
The "Smooth-Hawley Tariff" was an act that was meant to alleviate the people and the economy from the "Great Depression." It raised the tariff of import goods. This was retaliated by other countries, which, in turn, also increased their tariff on US goods. So, this contributed to a decline of both import and export of goods, thereby <u>reducing international trade</u>.
Since it is the role of the bank to assist people when it comes to financial trading, <em>the reduction of international trade greatly affected banking.</em> This resulted to many bank failures, including the collapse of the Creditanstalt Bank (used to be the largest bank in Austria). Farm banks also began failing due to the collapse of the export market. <u>The tariff made a significant change in the country's monetary system.</u>
So, this explains the answer.
