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Summary: Three Causes Of The Great Depression

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Three causes of the Great Depression were the limited middle-class consumers causing an uneven distribution of wealth, increased tariffs limiting international trade, and the risky strategy of buying stock known as “buying on margin”. (Trowbridge, 2016) While all of these were major contributors towards a failed economy, the particular cause I believe was investors buying stock with borrowed money. While many lost their life savings, businesses were unable to continue receiving loans to keep the economy growing. There were few regulations placed on banks, and insurance was not provided to depositors. (Trowbridge, 2016) The combination of these events essentially caused a “domino-effect, “between bank failures, the stock market crash, massive
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