Question

How did the decline in worldwide trade contribute to the depression?

Answer 1

The decline in worldwide trade during the Great Depression caused economic crises in various countries. The Hawley-Smoot Tariff Act worsened the situation by raising tariffs and reducing world trade further.

Step-by-step explanation:

The decline in worldwide trade significantly contributed to the Great Depression. As businesses were hit hard by the economic downturn, many U.S. banks recalled loans made to foreign businesses and countries, causing crises in other places. Additionally, Congress passed the Hawley-Smoot Tariff Act in 1930, which raised tariffs and led to retaliatory measures by European countries. This resulted in a severe reduction in world trade, exacerbating the economic downturn.

Answer 2

The decline in worldwide trade during the Great Depression caused economic crises in various countries. The Hawley-Smoot Tariff Act worsened the situation by raising tariffs and reducing world trade further.

Step-by-step explanation:

The decline in worldwide trade significantly contributed to the Great Depression. As businesses were hit hard by the economic downturn, many U.S. banks recalled loans made to foreign businesses and countries, causing crises in other places. Additionally, Congress passed the Hawley-Smoot Tariff Act in 1930, which raised tariffs and led to retaliatory measures by European countries. This resulted in a severe reduction in world trade, exacerbating the economic downturn.