Thursday, January 5, 2012
Which of the following would be considered the major reason that an American Farmer did not prosper in 1920's?
The answer is A. During WWI the government asked American farmers to produce more food because we had to feed Europe. So farmers started taking out loans to buy more land and more crops. For a few years farmers made a lot of money. Then the war ended and American farmers started having some problems. Europe started feeding themselves and American farmers started making less money because we had so much food here. Then the banks started taking farms because the farmers weren't able to make their loan payments. When the banks had foreclosed on too many properties they ended up closing and that is the start of the Great Depression.
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