Which of the Following Statements Is True About the Great

question 105

Multiple Choice

Which of the following statements is true about the Great Depression?

• A) The fall in aggregate demand at the start of the Great Depression began with the collapse consumption because of the decrease in incomes, following the stock market crash of 1929.
• B) The fall in the short-run aggregate supply at the start of the Great Depression began with the collapse in investment.
• C) The fall in aggregate demand at the start of the Great Depression began with the collapse in investment.
• D) The fall in the short-run aggregate supply at the start of the Great Depression began with the collapse in exports because of the passage of Smoot-Hawley Tariff Act of 1930 which raised tariffs on imported goods.

---

Definitions:

Quantity Of Output

The measure of production volume produced by a business, sector, or economy within a specified time frame.

Accounting Break-even

Accounting Break-even is the point at which a company's revenues exactly cover its expenses, excluding financing costs and taxes.

Contribution Margin

The selling price per unit minus the variable cost per unit, used to determine how sales affect net income.