Which of the Following Statements Is True of the McNary-Haugen

question 69

Multiple Choice

Which of the following statements is true of the McNary-Haugen bill?

• A) It called for surplus crops to be sold on the world market in order to raise domestic prices.
• B) It failed to pass Congress in 1922 but passed in 1927 with the support of President Coolidge.
• C) It effectively raised domestic commodity prices by slowing the mechanization of agriculture.
• D) It was viewed with derision by American farmers and led to widespread protests.
• E) It ushered in a new golden age of American agriculture after the Great War.

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Definitions:

Trade Deficit

A situation where a country's imports of goods and services exceed its exports, leading to a negative balance of trade.

Foreign Assets

Assets such as stocks, bonds, real estate, or businesses that are located in countries outside the investor's home country.

Foreign Price Level

A measure of the average prices of goods and services in a country relative to those in other countries, affecting exchange rates and purchasing power.

Real Exchange Rate

The rate at which a person can exchange the currency of one country for the currency of another and obtain the same quantity of goods.