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Question
which best explains why farmers in the great depression could not repay their loans?
the price of farm equipment was too low.
the price of crops was too low.
the price of crops was too high.
the price of topsoil was too high.
During the Great Depression, overproduction of crops led to a significant drop in crop prices. Farmers' income from selling crops decreased, making it hard for them to generate enough revenue to repay loans. The price of farm equipment (first option) and topsoil (fourth option) weren't the primary reasons for loan non - repayment. A high crop price (third option) would have helped farmers earn more, not hinder loan repayment. So the key factor was low crop prices.
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B. The price of crops was too low.