The Hawley-Smoot Tariff Act of 1930

question 20

Multiple Choice

The Hawley-Smoot Tariff Act of 1930

• A)lowered U.S. tariff rates to provide markets for European goods.
• B)raised tariff rates and contributed positively to economic recovery worldwide.
• C)encouraged European nations to lower their tariff rates to enable U.S. companies to sell their goods abroad.
• D)did not pass.
• E)raised U.S. tariff rates, causing European nations to raise their rates and thus weaken international trade.

---

Definitions:

Bankruptcy Claims

Rights to payment held by creditors from a company undergoing bankruptcy proceedings.

Debt/equity Ratio

The proportionality ratio of debt to equity in the context of funding a company's assets.

Optimal Capital Structure

The best mix of debt, equity, and other financial instruments that maximizes a company's value while minimizing its cost of capital.

Increased Benefit

An enhancement or improvement in the terms or amount of an insurance or investment product's payouts.