Question

which factor in the late 1920s was a major cause of the great depression? * 1 point
overproduction of manufactured goods.
high income tax rates.
limited use of consumer credit.
excessive profits for farmers.

Explanation:

In the late 1920s, overproduction of manufactured goods led to a surplus. With no sufficient demand to match this supply, businesses faced losses, production cuts, and lay - offs. This was a major contributor to the economic downturn that became the Great Depression. High income tax rates were not a major cause then (taxes were relatively lower in the 1920s compared to later periods). The 1920s actually saw an increase in consumer credit use (not limited use) as installment buying became popular. Farmers were facing problems like low prices (not excessive profits) due to overproduction in agriculture as well.

Answer:

Overproduction of manufactured goods.