Answer :
To answer the question of what accompanied the rise in unemployment shown in the table, let's analyze the given historical context and economic trends during that period.
### Step-by-Step Analysis:
1. Understanding the Unemployment Trend:
- In 1918 and 1919, the unemployment rate was very low at 1.4%.
- In 1920, there was a significant increase in unemployment to 5.2%.
- By 1921, the unemployment rate had further escalated to 11.7%.
2. Historical Context:
- This period immediately followed the end of World War I, which concluded in November 1918.
- The post-war years often bring significant economic adjustments as countries transition from wartime economies to peacetime operations.
3. Economic Changes Post-World War I:
- Recession: The United States experienced an economic recession after World War I. This means economic activity slowed down significantly.
- Industrial Production: There was a decrease in industrial production because the demand for war-related goods and supplies dwindled.
- Prices and Productivity: During a recession, it is common to see a drop in prices due to decreased demand for goods and services. Productivity may also decline as businesses cut back on operations and workforce.
### Conclusion:
By understanding the broader economic context of the early 1920s following World War I, we can identify that the rise in unemployment shown in the table from 1918 through 1921 was indeed accompanied by "a drop in prices and productivity." This matches the historical economic trends seen during the transition from a wartime economy to a peacetime economy, which included significant economic retraction and reduced industrial activity.
Therefore, the correct answer is:
a drop in prices and productivity
### Step-by-Step Analysis:
1. Understanding the Unemployment Trend:
- In 1918 and 1919, the unemployment rate was very low at 1.4%.
- In 1920, there was a significant increase in unemployment to 5.2%.
- By 1921, the unemployment rate had further escalated to 11.7%.
2. Historical Context:
- This period immediately followed the end of World War I, which concluded in November 1918.
- The post-war years often bring significant economic adjustments as countries transition from wartime economies to peacetime operations.
3. Economic Changes Post-World War I:
- Recession: The United States experienced an economic recession after World War I. This means economic activity slowed down significantly.
- Industrial Production: There was a decrease in industrial production because the demand for war-related goods and supplies dwindled.
- Prices and Productivity: During a recession, it is common to see a drop in prices due to decreased demand for goods and services. Productivity may also decline as businesses cut back on operations and workforce.
### Conclusion:
By understanding the broader economic context of the early 1920s following World War I, we can identify that the rise in unemployment shown in the table from 1918 through 1921 was indeed accompanied by "a drop in prices and productivity." This matches the historical economic trends seen during the transition from a wartime economy to a peacetime economy, which included significant economic retraction and reduced industrial activity.
Therefore, the correct answer is:
a drop in prices and productivity
