The Beginning of the Great Depression Answers

2 verified answers

Which statement describes the state of the stock market by the late 1920s?

The stock market became increasingly unstable as prices fell.

The stock market began to lose steam as more people bought on margin.

The stock market became overvalued as more people invested.

The stock market lost value as wealthy investors earned income elsewhere.

In the 1920s, bank runs resulted from falling consumer confidence. Why was this disastrous for the banks?

Banks were unable to deal with angry and violent customers.

Banks depended on failing national banking companies.

Banks refused to adjust their operations to the changing market.

Banks lacked the money that they needed to continue to operate.

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