Which of the Following Did Not Contribute to the Severity

question 162

Multiple Choice

Which of the following did not contribute to the severity of the Great Depression?

• A) A sharp reduction in the money supply during the early 1930s.
• B) A large tax increase (to balance the budget) in the early 1930s.
• C) Substantial increases in the tariff rates on imported goods.
• D) A reduction in government expenditures and a substantial cut in personal income tax rates during 1932 and again in 1936.

---

Definitions:

Agent

An individual or entity authorized to act on behalf of another, often in business transactions, creating an agency relationship.

Gratuitous Agency

An agency relationship where the agent agrees to act on behalf of another party, the principal, without receiving any compensation.

Duty Of Obedience

A legal or ethical obligation requiring individuals to follow the lawful orders and policies of an organization or authority.

Duty Of Loyalty

A legal obligation requiring individuals to act in the best interests of another party, typically in a fiduciary relationship.