t after a boom it would be normal for the economy to readjust itself. A recession would then occur where wages, costs, and interest rates would be reduced. The economy would start to readjust in June of 1929. The Federal Reserve Board would toss out their new easy money policy. This would soon cause destruction down the line not only destroying individuals but would hurt industries and stockholders as well.
STOCK MARKET CRASH. The U.S. stock market boomed in the 1920s. Prices skyrocketed to levels that made no sense in terms of traditional patterns and rules of thumb for valuation. Evidence suggests that as the market peaked in 1929, approximately forty percent of stock market values were pure air: money invested that did not exist. The stock market crash of 1929, while it did not single-handedly cause the depression, began the downward spiral that became the Great Depression. Investors' speculation transformed into utter fear. At the close of the decade, the "Roaring 20's" scree
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