Use the cause and effect table to answer the question.

Question

Cause: investors often brought stocks “on margin.”
Effect: _____

Which event best completes the table?
A. • Individual stocks experienced relatively little change in price over time.
B. • Government regulations led people to pull their money from the market.
C. • Declines in stock prices eliminated personal savings and left investors in debt.
D. • A booming stock market distributed wealth broadly across a majority of Americans.

Answer 1

The best option to complete the table is:

C. • Declines in stock prices eliminated personal savings and left investors in debt.

This option directly connects the cause of investors buying stocks "on margin" (which involves borrowing money to purchase stocks) to the effect of declines in stock prices, resulting in financial losses and debt for those investors.