Multiple Choice Question

Which BEST explains how the expansion of industrial productive capacity in the United States contributed to the beginning of the Great Depression?
A.
Companies spent money expanding their factories but could not find enough workers to fill them after World War I.
B.
The departure of women from the workforce after World War I caused a decrease in sales, making expanded production no longer necessary.
C.
The financial instability of Europe after World War I meant a reduction in the number of markets able to consume products Americans did not buy.
D.
Consumers bought more goods than they could afford, leading to further increased production, which eventually led to a cash shortage and financial collapse.

1 answer

The answer that BEST explains how the expansion of industrial productive capacity in the United States contributed to the beginning of the Great Depression is:

D. Consumers bought more goods than they could afford, leading to further increased production, which eventually led to a cash shortage and financial collapse.

This option highlights the cycle of overproduction and consumer debt that contributed to the economic instability that culminated in the Great Depression.