Consequences of Stock Market Speculation

To many citizens bought stocks with borrowed from banks

• Factories had to close and people lost jobs 
• The federal government did very little to help&nbs
• Overspeculation led to the Stock Market Crash of 1929

What was a major consequence of citizens purchasing stocks with borrowed money in the 1920s?

• Banks became more stable and prosperous

• The economy experienced a period of unprecedented growth

• The Stock Market Crash of 1929 was triggered by overspeculation

Federal Government did very little to help citizens

• Factories had to close and people lost jobs

• The federal government did very little to help

• President Hoover believed the economy would eventually fix itself

A small portion of a company that people can buy. When a company does well, the value of the stock increases

• Stock market

• Stocks

• Overspeculation

Stock Market is where investors buy and sell stocks

• True
• False

(a)   when a person cannot find work to make an income

When stocks become worth a lot more than the actual value of the company

(a)