Answer:
Prior to the stock market crash of 1929, the US economy was vulnerable in both its agriculture and manufacturing sectors. Here are some of the ways in which these sectors were vulnerable:
Agriculture: During the 1920s, the US agricultural sector was experiencing overproduction, which led to falling prices and declining profits for farmers. This was partly due to technological advances that allowed for increased efficiency in farming, which in turn led to an oversupply of agricultural goods. The situation was made worse by droughts and other natural disasters that affected crop yields in various regions. As a result, many farmers were struggling financially, and this had ripple effects throughout the economy.
Manufacturing: The US manufacturing sector was also vulnerable prior to the stock market crash. One of the main issues was overproduction, which was similar to the problem in agriculture. Many companies had invested heavily in new machinery and technologies, which led to increased productivity but also to an oversupply of goods. This resulted in falling prices, reduced profits, and layoffs in the manufacturing sector. In addition, there were concerns about the use of credit and speculation in the stock market, which were fueling a bubble that many feared would burst.
Step-by-step explanation: