Praxis II Social Sciences Content Knowledge Exam Prep

Answer: B - In the late 19^th century, the Populist Party advocated for the increase in the amount of circulated currency to help remedy problems faced by American farmers. In the late 19^th century, farmers faced a serious financial bind. Due to rapidly transforming farm technology, mechanization and therefore, production, had greatly increased. But this came at a cost: a huge decrease in the prices that farmers would receive for their crops.

Simultaneously, farmers were going into debt to buy the new farm equipment that was being manufactured. Lastly, a tight money supply in the United States had caused deflation, which was terrible for farmers. So the Populist Party proposed an increase in the money supply to help farmers.