In 1929 people bought stocks on the chance they would earn money and ignored the risks, the government did not regulate the buying of stock so people lost money. In early September 1929 stock market prices went up then strait down, Investors sold their stocks and left. On October 24th the stock market hit the bottom and once again investors sold their stocks and left. October 29th is known today as Black Tuesday. The great depression was caused by the Stock Market crash of 1929, and the fall of banks. Once people heard that the stock market crashed people took their money out of the banks but people couldnt get their money out because most banks had invested their money in the stock market. Also a uneven distribution of imcome caused the stock market to crash.
Comments