Causes
Prices began their inevitable decline in October 1929, millions of overextended shareholders fell into a panic and rushed to liquidate their holdings, exacerbating the decline and engendering further panic
What was the stock market crash of 1929?
Which large numbers of bank customers, fearful of their bank’s solvency, simultaneously attempted to withdraw their deposits in cash.
What was banking panics and monetary contraction?
Meanwhile, American agricultural interests, suffering because of overproduction and increased competition from European and other agricultural producers, lobbied Congress for passage of new tariffs on agricultural imports.
What was the decreased international lending and tariffs?
A type of tariff that was steep averaging 20 percent on a wide range of agriculture and industrial products.
What was the Smooth-Hawley Tariff Act?
Declared a four-day “bank holiday”
What did Franklin D. Roosevelt do?