Why did the economy collapsed after the stock market crash?

Answer 1

People bought stocks on margin and

for the most they went on living the

way when the stock marketcrashed

and waited for somethings to change

Answer 2

On October 29, 1929, Black Tuesday hit Wall Street as investors traded some 16 million shares on the New York Stock Exchange in a single day. Billions of dollars were lost, wiping out thousands of investors. In the aftermath of Black Tuesday, America and the rest of the industrialized world spiraled downward into the Great Depression (1929-39), the deepest and longest-lasting economic downturn in the history of the Western industrialized world up to that time.

The Stock Market crash of 1929 was not the sole cause of the Great Depression, but it did act to accelerate the global economic collapse of which it was also a symptom. By 1933, nearly half of America's banks had failed, and unemployment was approaching 15 million people, or 30 percent of the workforce. The U.S. economy would not fully turn around until after 1939, when World War II (1939-45) revitalized American industry.

Answer 3

Prior to the crash, unemployment was about 5%. After the crash, many businesses closed, or had to scale back staff. Unemployment climbed to around 21%, with millions of people out of work.

Answer 4

there was a car crash on wall street

Answer 5

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