Question

7. All of the following were causes of the Great Depression EXCEPT

Answer 1

Answer:

The only option that is not a cause of the Great Depression is B: high wages paid by employers. Quite the opposite, one of the causes of the Great Depression was the uneven distribution of wealth, leading to intense wealth concentration because among other things workers' wages were low.

Explanation:

Options A, C, and D are consensual causes of the Great Depression.

The stock speculation led to a generalized and dramatic stock price drop: the most famous event of the Great Depression, the Wall Street Crash, on October 24, 1929.

Wealth concentration happened because workers weren't being well paid. Thus workers didn't have purchasing power. That's why the increase in goods production led to a situation where supply exceeded demand.