One of the main factors which contributed to the Stock Market Crash in 1929, when the very loose regulations related to margin orders.
In financial terms, margin in an instrument which consists on depositing a collateral with a counterparty (generally the broker) to cover some of the credit risk that the depositor places to that counterparty.
In the 1920s, the mandatory requirements regarding margins were not very strict, and brokers asked investors to put in a small fraction of their own money. Leverage rates which measure the proportion of debt, reached 90% with a high frequency. Nowadays, the Federal Reserve has established the limit of 50%.
Back in 1929, when the stock market started to contract, many investors received margin calls. They had to hand in more money to their brokers, because the amounts required before were not enough and if not, their shares would be sold. Many people did not have the extra margin amounts required, their shares were sold and the market declined further. This generated more margin calls and more declines. This is why margin calls were one of the causes which triggered the Stock Market Crisis and, in turn, the Great Depression in 1929.
A group with similar beliefs about government best describes a political party.
<u>Option: D</u>
<u>Explanation:</u>
This is an collective community of citizens who share similar political values, and participate in contesting elections to retain government power. They compromise on some of the suggested policies and initiatives, aiming to encourage the common good or nurture their supporters' interests.
It is also necessary to note that while political parties are generally known for their ideology and way of operating, major differences still exist. Many political parties have an common heart, although some do not, and others embody philosophies that are somewhat different when the party was formed from those of previous.
Yeah we all know that because it has speeding has severe consequences
Answer:
Racism
Explanation:
People of color need to be treated with more respect.
Answer:
Between 1900 and 1905, Japan became a full-fledged member in the club of imperialist powers.
Explanation:
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