Read the following excerpt from The New York Times on October 30, 1929, after the Stock Market Crash: "Scores of issues, large and small, dropped to the lowest prices of the year or longer as the bottom appeared to drop out of the stock market." Which of the following factors contributed most directly to the stock market crash described in this article? (2 points) Responses Excessive stock speculation and buying on margin Excessive stock speculation and buying on margin The government's decision to increase interest rates The government's decision to increase interest rates Declining agricultural prices in rural areas Declining agricultural prices in rural areas International trade disputes and tariffs

Answer 1

The factor that contributed most directly to the stock market crash described in the article is "Excessive stock speculation and buying on margin." This practice led to inflated stock prices and increased vulnerability of the market, ultimately culminating in the crash when investors were unable to maintain their margins and sell-off occurred en masse.