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Which of the following best explains why the Great Depression spread to Britain?

O a dramatic drop in American purchases of luxury items and overproduction
O a decline in the shipping industry and a reliance on German reparations
an increase in demand for luxury goods and underconsumption
the harsh terms of the Treaty of Versailles and the credit system

1 Answer

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Final answer:

The Great Depression spread to Britain due to a decline in the shipping industry and the halt of German reparations.


Step-by-step explanation:

The Great Depression spread to Britain due to a combination of factors, including a decline in the shipping industry and a reliance on German reparations. The shipping industry was crucial for Britain's economy, and as global trade decreased, it led to a decline in British exports and a loss of jobs. Additionally, after World War I, Britain relied on German reparations to repay its war debts, but when Germany stopped making payments in the early 1930s, it further worsened Britain's economic situation.


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