Which of these economic changes was observed during the Great Depression?
A)A fall in the domestic price level leading to an increase in import demand
B)A fall in resource prices leading to an increase in aggregate supply
C)An increase in unemployment leading to a decrease in the aggregate demand
D)An increase in the domestic price level leading to an increase in export demand
E)An increase in real GDP leading to an increase in the real interest rate

Question

Quizplus · Accepted Answer

The increase in unemployment during the Great Depression resulted in a decrease in aggregate demand as consumers had less money to spend, and businesses had fewer customers to sell their goods and services to.

Which of These Economic Changes Was Observed During the Great