asked 196k views
4 votes
What influenced U.S. economic recovery following the Great Depression?

a) production of materials for world war I
b) European debt payment
c) Herbert hoover's new deal program
D) production of materials for world war II

asked
User Enenen
by
8.2k points

1 Answer

3 votes

The correct answer is D.

US economic recovery after the Great Depression was mostly based on goverment-driven economic policies that sought to increase aggregate demand figures and employment levels. This is why the sucessful package of measures known as New Deal, and based in Keynesian economic principles, was introduced by President Roosevelt. It aimed to increase aggregate demand and employment by increasing goverment spending to start public works projects.

Moreover, the need to manufacture military equipment and other materials for WWII, increased national output, income and employment figures.

answered
User DoronK
by
7.9k points
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