Question

Read the excerpt from the interview with E.Y. (Yip) Harburg.

We thought American business was the Rock of Gibraltar. We were the prosperous nation, and nothing could stop us now. A brownstone house was forever. You gave it to your kids and they put marble fronts on it. There was a feeling of continuity. If you made it, it was there forever. Suddenly the big dream exploded. The impact was unbelievable.

Based on the excerpt and your historical knowledge, why did the stock market crash make Americans lose confidence in business?
Other industries became more successful and provided needed jobs.
Most successful business owners refused to assist those in need.
Americans realized that business was not immune to failure and could collapse.
Average Americans became the victims of unethical business owners.

Answer 1

Americans realized that business was not immune to failure and could collapse.

Explanation: The crash shattered the belief that prosperity was permanent — banks failed, stock values evaporated, savings were lost and businesses folded, showing that even big, successful firms could fail.