black tuesday
...amilies got themselves hopelessly into huge debt. Once they paid off the money they unwisely decide to buy another product on the credit. They ended up with this huge credit loan on their shoulders. In the second Place, there was already a huge credit loan on the people and unemployment further spoiled the situation. Many people were unemployed due to the over production and over expansion. Industries were manufacturing goods in large amount and simply stock pilling them. The wages were not high enough to buy these products. As the demand for these goods decreased, the factory owners began to panic and laid-off worker to slow down the production. The workers had now no more income but a huge monthly expense. Further, in order to end this spell, many workers decided to spend their life savings buying stocks with the idea of getting rich on their minds. They thought this was the only and the easiest path if they want to cope with credit loan. People started buying stocks on margin and hope that the value of the stocks will eventually rise but the complete opposite ended up happening. The value of stocks dramatically started to decrease, so they decided to immediately get rid of them before they ended up in a huge loss. The prices further lowe...