Question

In 1929, why did the stock market crash?

A. Germany ceased reparation payments to the United States.

B. The Federal Reserve increased the money supply.

C. Depositors lost their investments and tried to withdraw all of their savings from the banks.

D. Investors lost confidence in the stock market and rushed to sell their shares.

Answer 1

D.investors lost confidence in the stock market and rushed to sell their shares

Answer 2

Answer:

D. Investors lost confidence in the stock market and rushed to sell their shares.

Explanation:

This is the main reason why the stock market crashed in 1929. As investors began to lose confidence in the stock market, they rushed to sell their shares. This took place from September to late October, and led to the collapse of the New York Stock Exchange. The event was absolutely devastating for the country, and marked the beginning of the Great Depression.