Why Did The Stock Market Crash Of 1929

In 1929 there were multiple reasons why the stock market had problems. The stock market crash of 1929 or Black Tuesday had a big impact not just on The United States but the whole world. In 2008 the stock market had many problems as well. This also had a big impact on the world and the United States. Problems in the stock market led to the Great Depression, just like problems in the 2008 stock market led to the Great Recession.
In the 1920’s the stock market was booming, But it had many errors in it, A lot of people bought stocks on margin which meant you only had to pay 10-20% of it up front and you could pay the rest of it when you got the money from reselling your stocks (Pettinger). So when the stock market crashed and everybody lost all their money they had in stocks they couldn’t repay the broker's back what they owed (Pettinger). Another reason leading up to the crash is banks were giving out big loans that couldn’t be liquidated (“History”). Many people had low wages and didn’t make enough money to pay back loans or brokers the money they owed them, this led to a proliferation of debt (history).
Many farmers struggled to compete
They discussed and passed laws to relieve and help prevent another Great Depression. They provided jobs and formed partnerships between businesses and the government (Mitchener 341). Congress made several agencies to manage relief programs. One was The Federal Emergency Relief Administration or the FERA, this agency gave money to the states to provide for charities and relief programs. Another agency is the Civilian Conservation Corps or the CCC, this agency employed thousands in conservation projects. The Agricultural Adjustments Administration or AAA, Regulated farm production and prices. The Securities and Exchange Commision or SEC, regulated stocks, and protected investors from bad stocks (Mitchener 341)