The Great Depression provided significant evidence that
A) the economy always worked well on its own
B) the economy always reached full employment on its own
C) the economy may not always do well on its own
D) the notion of laissez faire was correct
E) the supporters of the classical model were correct

Question

Quizplus · Accepted Answer

The Great Depression was a time when the economy faltered and unemployment skyrocketed, providing evidence that the economy may not always do well on its own. This challenged the idea of laissez faire and the classical model, which assumed that the economy would self-correct and reach full employment on its own.

The Great Depression Provided Significant Evidence That