Question

What caused the U.S. stock market to crash in 1929?(1 point)ResponsesThere was a financial panic after investors were unable to repay loans to brokers.There was a financial panic after investors were unable to repay loans to brokers.High tariffs raised prices, which crippled world trade.High tariffs raised prices, which crippled world trade.Banks across the country were forced to close.Banks across the country were forced to close.A large drought caused defaults on farm mortgages.

Answer 1

The primary cause of the U.S. stock market crash in 1929 was **a financial panic after investors were unable to repay loans to brokers**. This situation was exacerbated by widespread speculation in the stock market, leading to overvalued stock prices, and ultimately resulted in a loss of confidence among investors.