Look at the chart that I have attached. The low point was between 55 or 60 to 381. When you look at something like Bitcoin, that doesn't look like it was very much, but there are two things that you really have to keep in mind.
1. Most people had only about 10% of the price of the stock covered. What that means is that if a stock cost 100 dollars, most people had only 10 dollars holding it down. The rest was put up by the bank. The market was doing such crazy things that I don't even think the banks checked into your credit. The stock was holding down what you owed. The bank only got its share when you sold. Preposterous!!! It sure was.
2. The second thing is that the numbers I've given you were the Dow Jones Industrial Average. That's the cream of the cream on the NY stock exchange. Who knows what was going on with companies that were not that big. They were what the economic writers would have called "Good Speculations," which translated into "go mortgage your house, sell your furniture, back up the truck (and then sell it too) and buy xzy. You'll never be broke again."
That by the way is why bitcoin and all its relatives is so dangerous.
B.
<span>to carry out the laws passed by Congress</span>
If there's an economic downturn in a country where the taxes are very high, and those taxes are used for the funding of the numerous social programs, than the country can very quickly face high rates of poverty and maybe even an internal conflict.
If the economy suddenly starts to crumble, the people that work would not be able to support themselves with the paying of very high taxes, thus they will rebel against that in order for the taxes to be lowered down.
On the other hand, that will result in little to no funding for the social programs. That will bring in revolt in the people that are very poor and need those programs, but also the people that do not work by their will but have relied on those money.
These two sides of the picture can easily bring in a lot of violence, tensions, even a revolution.
The patriots were rebelling against the loyalists, or the colonists against the British. This was because they were required to pay taxes but had no say in what happened in the government.