Why did creditors foreclose on so many farms during the depression?

2 answers:

7 0

Many farmers borrowed money from banks using the equity in their property and equipment. Many of these loans were designed to cash in on the expansion of demand in the market. The Great Depression caused the markets to collapse and the banks foreclosed on the property for unpaid debt.

Georgia [21]4 years ago

4 0

Many farmers borrowed money from the bank to buy equipment so when the depression started they could not pay back the money causing the banks to take the land.

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Question 2

Monica [59]

In the market economy, the decisions in the farm will be guided by the prices.

<h3>What is a market economy?</h3>

It should be noted that a market economy is when the forces of demand and supply determine the market.

In this case, in the market economy, the decisions in the farm will be guided by the price. The individuals also have a vital role to play.

Learn more about market economy on:

brainly.com/question/1659498

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4 0

2 years ago