Sovi.AI - AI Math Tutor

Scan to solve math questions

QUESTION IMAGE

4. which of these was a result of federal deregulation in the 1920s? co…

Question

  1. which of these was a result of federal deregulation in the 1920s? consumerism grew. fewer people could buy stocks. more businesses were started. the stock market rose dramatically.

Explanation:

Brief Explanations

To solve this, we analyze each option:

  • "Consumerism grew" was more due to new consumer goods and credit, not direct deregulation.
  • "Fewer people could buy stocks" is incorrect; deregulation and new financial practices (like buying on margin) made it easier for more people to buy stocks.
  • "More businesses were started" – while deregulation can encourage business, the key result of financial deregulation in the 1920s was the stock market boom.
  • "The stock market rose dramatically" – Federal deregulation in the 1920s (especially of financial markets) allowed for practices like buying stocks on margin, which increased speculation and led to the dramatic rise of the stock market (until the crash in 1929).

Answer:

D. The stock market rose dramatically.