Identify the causes of the economic panic of 1819.

a. Demand for western lands plummeted, bankrupting many speculators.
b. European demand for American farm goods returned to pre-War of 1812 levels.

Answer :

The economic panic of 1819 was caused by a combination of factors. First, demand for western lands plummeted, bankrupting many speculators. Second, European demand for American farm goods returned to pre-War of 1812 levels. This created a perfect storm of economic conditions that led to the panic.

The panic of 1819 was the first major economic crisis in the United States. It was caused by a combination of factors, both domestic and international. Domestically, the panic was caused by a sharp decrease in demand for western lands. This decrease in demand led to a decrease in prices for these lands, and many speculators who had invested heavily in them were left bankrupt.

Internationally, the panic was caused by a return to pre-War of 1812 levels of European demand for American farm goods. This decrease in demand led to a decrease in prices for these goods, and many farmers who had come to rely on the higher prices were left in financial difficulty. The combination of these two factors created a perfect storm of economic conditions that led to the panic of 1819.

Learn more about farm goods at : https://brainly.com/question/1615711

#SPJ4

Other Questions