Question

A major cause of the economic depression of 1929 was

Answer 1

a major cause of the economic depression of 1929 was the banks investing all the peoples money and the stock market crashing. 

Answer 2

decline in consumer purchasing power.

Step-by-step explanation:

A major cause of the Depression of 1929 was decline in consumer purchasing power. During the 1920s people were purchasing goods on credit though they did not really possess the long-term ability to pay for the goods they got. The gold standard was not an issue, and public works projects and government assistance programs were not a major concern until the 1930s.