Question

What were two DIFFERENT factors that contributed to the starting of the Great Depression in America? Please explain how they led to disaster.

Answer 1

Answer:Disproportionate wealth distribution, overproduction.

Explanation:

The combination of unequal wealth distribution. This situation intensified during the 1920s. Money is disproportionately distributed between the rich and the middle class, between industry and agriculture, and finally between the united states and Europe. This imbalance has negatively affected the economy. Another reason that led to the economic breakdown is overproduction. It produced much more than citizens could spend and afford because their purchasing power was not high. In these circumstances, the US economy collapsed in 1929, and the crisis would be felt until the outbreak of World War I.