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SVEN [57.7K]
3 years ago
11

What is the main cause of the panic of 1873?

History
2 answers:
Evgesh-ka [11]3 years ago
6 0

Answer:

Bad investments by a large banking firm forced the company to declare bankruptcy

Explanation:

The panic of 1873 was a result of over-expansion in the industry and the railroads and a drop in European demand for American farm products and a drop off of European investment in the US.

Papessa [141]3 years ago
4 0
Banks and other industries were putting their money in railroads. So when the banking firm of Jay Cooke and Company, a firm heavily invested in railroad construction, closed its doors on September 18, 1873<span>, a </span>major<span> economic </span>panic<span>swept the nation.</span>
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