What three factors explain the fact that the Great Depression was worse in the United States than in Europe?
A)exchange-rate policy,fiscal policy,and policy toward wages and prices
B)fiscal policy,monetary policy,and consumer confidence.
C)inflation,exchange-rate policy,and policy toward wages and prices
D)consumer confidence,monetary policy,and exchange-rate policy

Question

Quizplus · Accepted Answer

The three factors that explain why the Great Depression was worse in the United States than in Europe are exchange-rate policy, fiscal policy, and policy toward wages and prices. The US pursued a tight monetary policy that led to deflation, whereas European countries were on the gold standard with more accommodating monetary policies. The US also delayed implementing fiscal stimulus measures, while European countries implemented them earlier. Finally, the US pursued a policy of wage and price inflexibility, whereas European countries were more flexible in these areas.

What Three Factors Explain the Fact That the Great Depression