Which of the following is true of America's economic relations with the rest of the world during the 1920s?

A) American overseas investments increased substantially.
B) The nation suffered from an adverse balance of trade.
C) The nation experienced a reduction in its foreign trade.
D) The United States organized and supported the World Bank.

During the 1920s, American overseas investments increased substantially, especially in Europe and Latin America. This was partly due to a surplus of capital within the US economy and a desire among American investors to seek out new opportunities for profit abroad. The growth of American foreign investment helped to fuel economic development in other countries, but also created political tensions and instability in some cases.