WORLD WAR II 1941 1945
THE START OF THE SECOND WORLD WAR
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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a boom in agriculture, which caused a decline in manufacturing
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over-speculation in the stock market
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widespread purchasing of cars and radios
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American loans to Germany that were not paid back
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Detailed explanation-1: -Among the suggested causes of the Great Depression are: the stock market crash of 1929; the collapse of world trade due to the Smoot-Hawley Tariff; government policies; bank failures and panics; and the collapse of the money supply.
Detailed explanation-2: -The Depression Many of the small banks had lent large portions of their assets for stock market speculation and were virtually put out of business overnight when the market crashed. In all, 9, 000 banks failed–taking with them $7 billion in depositors’ assets.
Detailed explanation-3: -The start of the Great Depression is usually considered the Stock Market Crash of 1929. The market crashed from “over speculation.” This is when stocks become worth a lot more than the actual value of the company. People were buying stocks on credit from the banks, but the rise in the market wasn’t based on reality.
Detailed explanation-4: -Deflation increased the real burden of debt and left many firms and households with too little income to repay their loans. Bankruptcies and defaults increased, which caused thousands of banks to fail. In each year from 1930 to 1933, more than 1, 000 U.S. banks closed.