Question

How did the Great Depression relate to the school of classical economics?

a.
The end of the Great Depression in the 1940s confirmed many of the theories of classical economics.
b.
Crises like the Great Depression were predicted by Adam Smith.
c.
The Great Depression appeared to disprove the classical theory that demand and supply could return to a healthy equilibrium through market forces alone.
d.
The issues of the Great Depression had no connection to classical economics.

you guys took to long I answered correctly, it is C

Answer 1

The answer is C

cx ..

Answer 2

The correct answer is C.

The Great Depression generated refusal to classic economic theories, which supported no goverment intervention in the economy and claimed that the free interactions of economic agents in the markets led to the most efficient market outcomes.

This refusal grew specially after President Roosevelt implemented the New Deal in the US. This was a package of measures that aimed to restore the economic conditions by using an intense schedule of goverment interventions in the economy, that sucessfully increased public spending to create job positions and to boost GDP levels.