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zimovet [89]
3 years ago
11

What factors led to the panic of 1819 and what government regulations might have prevented it

History
1 answer:
Alex Ar [27]3 years ago
3 0

Answer: See explanation

Explanation:

The Panic of 1819 was a financial crisis that brought about the collapse of the economy of the United States.

The factors that led to the panic of 1819 were due to the fact that there was overexpansion of credit which occured after the wars had ended. Other factors included reduction in the prices of cotton, the closing of several companies in the United States due to low prices and foreign competition.

Government could have prevented this through the use of trade protection to protect its industries. Using trade protection such as ban, quota and tariffs could have prevented this. Also, the excessive borrowing was.onw the factors that led to the panic and the government could have reduced its borrowing. Lastly, the government could have prevented this by not selling land on credit.

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