INTER WAR YEARS 1919 TO 1939
THE GREAT DEPRESSION
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Stock prices went up so fast that investors could not keep up with the changes.
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The government decided to close the stock market in New York.
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Stock prices fell; investors panicked and sold their stocks, which led to more panic.
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People decided to invest their money in stock markets in Europe.
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Detailed explanation-1: -The stock market crash of 1929 was a collapse of stock prices that began on October 24, 1929. By October 29, 1929, the Dow Jones Industrial Average had dropped by 30.57%, marking one of the worst declines in U.S. history. 1 It destroyed confidence in Wall Street markets and led to the Great Depression.
Detailed explanation-2: -The Market-And People-Were Overconfident That same sense of reckless overconfidence extended to average consumers and small investors, too, leading to an “asset bubble.” The crash happened after a long period of rising market growth that led to consumer overconfidence.
Detailed explanation-3: -A stock market crash occurs when the market has entered an unstable phase, and an economic disturbance causes share prices to fall suddenly and unexpectedly. Historical stock market crashes in the U.S. occurred in 1929, 1987, 1999-2000, 2008, and 2020.