Question

Which of the following factors contributed to American consumer spending during the 1920s? A.Rich people welcomed middle-class people into their homes and schools. B.People were willing to borrow money to buy products instead of saving for them. C.An excess of luxury goods raised the standard of living for everyone. D.Products that were imported from other countries were very inexpensive.

Answer 1

*People were willing to borrow money to buy products instead of saving for them.
1920's was era in USA of extremely cheap credit and tighter job market which made many people to believe that they can finance extensive loans for luxury items like radios, cars, household appliances, and real estate.