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Question
question 8 of 10
which of the following describes policies used in the united states and europe during the 1930s that worsened the great depression?
a. establishing command economies and building up large military forces
b. hiring more government workers and launching construction projects
c. closing stock markets and replacing them with government - owned banks
d. increasing taxes on imported goods and cutting government spending
In the 1930s, protectionist measures like increasing taxes on imported goods (tariffs) and cutting government spending worsened the Great Depression. Tariffs led to reduced international trade, and government - spending cuts reduced economic stimulus. Command economies (A) weren't established in the US and most of Europe then. Hiring more government workers and construction projects (B) are expansionary measures that could help the economy, not worsen it. Stock markets weren't closed and replaced by government - owned banks (C).
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D. Increasing taxes on imported goods and cutting government spending