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Sophie [7]
3 years ago
12

11. How did the stock market crash, the closing of the Ford Model T plant and the collapse of the farming

History
1 answer:
never [62]3 years ago
5 0

The stock market crash, the closing of the Ford Model T plant and the collapse of the farming  industry contribute to the economic collapse by destroying jobs, wealth, and American confidence in the economy

Answer: Option C

<u>Explanation:</u>

Great Depression was the worst economic disaster in the history of the United States. During the period of Great Depression, the good produced declined by almost one-third. The stock market lost almost 80% of its value.

Also the unemployment rate rose by almost 25%. During this period, the failure of almost 7000 banks led to the loss of the confidence of people in the economy. The crash of the stock market destroyed a lot of wealth and the reduced money stock of the nation led to the economic disaster.

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During the first industrial revolution, the affected nations moved from a rural economy, based on agriculture and trade, to an urban, industrialized, mechanized, simplified and, thus, overcrowded economy. In 1800 it was possible to have a sustained growth of wealth that allowed the transition to a wide use of innovative machines, especially in transport and work, abandoning animal traction and production based on manual labor.

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