1.buying on credit allowed people to buy things and then pay for them later.
2. this combined with what the american people at the time thought was a strong economy
3. buying on margin which was similar to buying on credit allowed people to buy shares for 10% to 20% of their actual value
4. which meant you were borrowing 80% to 90% of the value
5. since better technology was increasing supply at a higher rate and demand for food was not increasing at same rate prices fell and farmers income dropped
bank failures they failed becuase people to lose their savings do to the deposits in the bank
they decide to be more carfeul about who give loans out to
long lastin impact on the us
tarrifs increased quickly
A lot of people were out of jobs
the social security system was set into place
the first new deal was intended to fix the economy from the to down
so formed the ag adjustment
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