Which of the Following Is the Primary Reason Why American

question 21

Multiple Choice

Which of the following is the primary reason why American goods became dominant products in Europe in the 1920s?

• A)The World war had destroyed the industrial production of Europe.
• B)In America, there was an increase in union membership.
• C)Elite European customers could afford to buy imported American goods.
• D)The industrialists in Europe found it cheaper to import products than to manufacture them.
• E)America offered a considerable discount on bulk purchase to promote its goods.

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Definitions:

Monetary Policy

Actions of a central bank, currency board, or other regulatory authorities that determine the size and rate of growth of the money supply, which in turn affects interest rates.

Fiscal Policy

Government policies regarding taxation and spending that influence economic conditions.

Rational Expectations

The hypothesis that individuals form forecasts about the future based on all available information in an unbiased and logical manner.

Monetary

Pertaining to money, including aspects related to money supply, banking, and monetary policy used by a government to influence an economy.