Causes of the Great Depression 2

Causes of the Great Depression In 1929 the stock market crashed, triggering the worst depression ever in U.S. history, which lasted for about a decade. During the 1920s, the unequal distribution of wealth and the stock market speculation combined to create an unstable economy by the end of the decade. The unequal distribution of the wealth had several outlets. Money was distributed between industry and agriculture within the U.S.; in social classes, between the …

…fall apart around the automobile and radio industries. The rich refused to make loans to foreign countries for fear of going bankrupt. Foreigners stopped buying U.S. goods. Banks started to go under, stores closed up. President Hoover did not act in time to stop the country from going further into a depression (Docs Hoover). Unemployment had reached 13 million in 1932 (EV 549); the country went quickly downhill. The start of the Great Depression was setting in.