Question

A period of falliThe onset of the Great Depression: A. was in 1918 at the end of World War I. B. created a disagreement between the Hoover administration and conventional economists because Hoover wanted the government to intervene much more quickly than most others. C. was not a shock to anyone, since most economists predicted the Roaring '20s were bound to end in disaster. D. came as a considerable shock to the conventional wisdom of economics at that time and opened the door for critiques of mainstream thought by economists like John Maynard Keynes.ng real gross domestic product is a(n):

Answer 1

Answer:

The correct answer is D. The onset of the Great Depression came as a considerable shock to the conventional wisdom of economics at that time and opened the door for critiques of mainstream thought by economists like John Maynard Keynes.

Explanation:

The Great Depression was a recession that followed the Stock Market Crash on October 29, 1929. From the United States, it spread rapidly to Europe and other parts of the world, with devastating effects. International trade fell sharply, as did personal income, tax revenue, prices and profits. This affected cities all over the world, not least those who relied on heavy industry. Construction stopped in several countries, farms and other agricultural areas as the price of their harvests fell by between 40 and 60 percent, and the demand for miners and forestry workers fell sharply while there were few other employment options. The Great Depression ended at different times in different countries; the majority of countries affected set up different aid programs to cope with the crisis.

The Great Depression was not a sudden collapse; the decline came progressively for a period of three years and reached its absolute bottom in March 1933. In early 1930, the credit was large and was available for low prices, but was exploited by few because many households could not take on more debt. Car sales fell below the level of 1928 at the end of May 1930. Wages remained at a stable level until they began to decline in 1931. Circumstances were worst in agricultural areas, where prices of commodities fell, and in the mining and forest industry, where unemployment was high and there were get job opportunities. The downturn in the US industry began the downturn in most other countries; however, internal weaknesses or strengths in the various countries determined how severely affected they were by the crisis.