Question

What did was an effect of decreased consumer confidence in the late 1920s?

A.) undervalued stock
B.) an increase in jobs
C.) higher costs of goods
D.) rising debt

Answer 1

Your answer would be: D. rising debt.

I hope this helps my friend :) !

Answer 2

D. Rising Debt

Decreased consumer confidence led to a slowdown in consumer spending. Consumer confidence has a big impact on consumers’ spending activity and is a big indicator of the overall health of the economy. When consumer confidence is low, firms will not be able to sell and as a result will default on their loans. Consumers will be left jobless since firms will fail which will further lead to people failing to repay their loans.