Each of the following is a fact about the Great Depression except
A) from full employment in 1929, real GDP fell until it was nearly 40 percent below potential output by 1933.
B) the price level fell substantially: the deflation rate was about 10 percent in 1931.
C) international trade remained relatively stable throughout the 1930s.
D) real interest rates increased from four percent in 1929 to nearly 13 percent in 1931.

Question

Quizplus · Accepted Answer

International trade did not remain stable throughout the 1930s; it actually collapsed due to protectionist policies like the Smoot-Hawley Tariff, which exacerbated the global economic downturn.

Each of the Following Is a Fact About the Great