Essay heading: Economical Events That Lead Up To The Great Depression

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American History

 

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Date added:

December 29, 2008

 

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3 / 599

 

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They also purchased stock with borrowed money. When there was a drop in the stock market, some panicked and sold their stocks, for much less then they were originally worth. When people bought their stocks on margin, they only had to pay 10%. The stock became worthless and people went in to debt, because they had no money to the banks...
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Therefore businesses were not able to pay their debts, hundreds of banks failed. Many depositors withdrew their money savings; millions of people lost their entire live savings. Commentary: Looking back over the drastic economic events that took place during the depression there were that might have been used that might not have prevent the depression but might have loosened the impact that took place...
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