The effects of the Stock Market Crash of 1929 on the United States.
Bank investing and lending in the 1920s
During the 1920s bank investing was a huge part of America because of many reasons. Bank investing could start from people investing money in their banks so around ten years later they can get more money than they invested on to people using credits investment and once the time comes they will pay the credit fee.
Introduction of credit on Wide Scale
Credit today is really known to be a bad due to the munificent fee and etc., but in the 20s folks didn’t really think about it much because everything was payed with cash really. However, there were people who were struggling with payment and so believed once they use the credit they would be able to pay back the money needed, but of course nothing it too good to be true as the fee would be twice the amount of what you wasted
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On this date, Stock prices began to decline service to the people, meaning that people could not get their funds, causing the people and the economy to lose billions of cash. (Stock Market crash on 1929, N/D). The problem quickly spreaded every like a dry forest caught on fire. About one or two year later, food riots have occurred. Food riots were caused due by the people not having enough money to pay for, so instead of buying it, they stole it.
The Great depression
The Stock Market crash is mainly known to be the spark of the great depression as when the people went out of cash they weren’t ready as to what was coming. Such as the Dust Bowl,
Federal programs
Franklin D. Roosevelt New Deal caused many people to get out of the Stock Market Crash by having federal programs have the people get jobs that were long