Which of the following best explains why the Great Depression spread to Britain

Question

A. An increase in demand for luxury goods and under consumption
B. A dramatic drop in American purchases of luxury items and overproduction
C. A decline in the shipping industry and a reservations
D. The harsh terms of the Treaty of Versailles and the credit system

Answer 1

The option that best explains why the Great Depression spread to Britain is:

B. A dramatic drop in American purchases of luxury items and overproduction

The Great Depression began in the United States, largely due to a combination of overproduction and a drop in consumer spending. As American companies faced reduced demand, this had ripple effects internationally, including in Britain, where economies were closely tied. The decline in American purchases affected British exports and the overall economic stability, contributing to the spread of the depression in Britain.