In 1931,the severity of the Depression increased when the Federal Reserve Board
A)closed all financially-ailing banks.
B)declared bankruptcy.
C)weakened the value of the dollar.
D)expanded the money supply.
E)raised interest rates.

Question

Quizplus · Accepted Answer

The Federal Reserve Board raised interest rates in 1931, making it harder for businesses and consumers to borrow money and spend. This reduced economic activity and contributed to worsening the Great Depression.

In 1931,the Severity of the Depression Increased When the Federal