What cause and effect relationship is described in this article the Great Depression

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26-04-2022
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What cause and effect relationship is described in this article the Great Depression

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Tundexi Tundexi · Answer 1 · 2022-05-06T13:22:37+02:00

The cause & effect relationship of Great Depression is best described as when the stock market crashed which resulted lot of American buyer household items on credit.

What is the Great Depression?

This was a period of economic downturn in the history of the industrialized world that was mainly caused by the collapse of the stock market in the late 1920s.

The other cause that contributed to great depression includes:

lower interest rates set by the Federal Reserve
overspending by farmers
overproduction by factories

Some of the effect of the great depression of America includes

high rate of unemployment
high rate of homelessness
collapse of international trade
high rate of deflation etc

Hence, the relationship of Great Depression is best described as when the stock market crashed which resulted lot of American buyer household items on credit.

Therefore, the Option D is correct.