The economy was at it's extreme high and many people thought that the economy would never go down People were buying on margin while playing stock market On October 29, 1929 a mass sell off occurred. 23 Millions shares were exchanged between companies This caused the end of prosperity and the beginning of the Great Depression. Unemployment goes through the roof - 20% of people don't have a job This was followed by an agricultural recession - too many crops, price drops. The agriculture was then hit by natural disasters - droughts Causes of the Stock Market Crash Agricultural recession Buying in the margin Banks began to go bankrupt
Summary
The Stock Market Crash of 1929 was the beginning of the Great Depression which caused many problems for Canada. Many people lost their jobs and the agriculture was failing. Everything went downhill, and you could pretty much say it snowballed into a huge problem.