The stock market prices crashed to an extent that there was no hope for them to rise again.
A long period of panic struck, and there was darkness in terms of stock market prices.
This kind of massive withdrawal had a major effect in that it caused the banks to close too.
What is more, it was a disadvantage to those who did not withdraw their money because of not reaching the bank on time.
This influenced greatly the companies that produced these commodities in terms of sales and also getting profit. Though they always survived other depressions that they encountered, this one was a big challenge to them.
Most of the farmers were situated at the Great Plains before the Great Depression took place.The farmers were used to overgrazing, and now this had to combine with the effects of drought leading to a blow to the farmers.The latter were even left without food and crops for their animals.The day when this happened is referred to as Black Tuesday, and it is the day when the stock market crashed.That was the official date when the Great Depression started.It marked the beginning of involvement from the government to the country’s economy and also the society as a whole.After almost a decade of prosperity and optimism, the US was now exposed to a period of despair.This is because the grass that the animals could feed on had already dried up and disappeared in the long run.The loose dirt was picked by the whirled wind, and topsoil got exposed.After the banks closed, people went bankrupt and could not claim anything whosoever. Industries and businesses were highly affected too.This is because they were also working hand in hand with the stock market.