Which of the following was most responsible for bringing the Great Depression to an end?
A) the increase in industrial demand due to the military build-up prior to World War II
B) the expansionary monetary policy of the Fed during the 1930s
C) the New Deal policies that expanded government spending, stimulated demand, and increased output
D) the increase in import tariffs that saved jobs and expanded total employment

Question

Quizplus · Accepted Answer

The increase in industrial demand due to the military build-up prior to World War II is credited as being the primary factor that brought the Great Depression to an end. The large scale of war production led to increased demand for goods, which in turn led to increased employment and economic activity. The expansionary monetary policy of the Fed and the New Deal policies may have helped to mitigate the severity of the Depression, but it was the demand generated by the war that ultimately ended it. The increase in import tariffs, on the other hand, is generally seen as having worsened the Depression by reducing international trade and increasing protectionism.

Which of the Following Was Most Responsible for Bringing the Great