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Question
after the stock market crash,
banks had plenty of cash to repay depositors.
banks loaned more money to americans.
americans calmly invested more in the stock market
americans panicked and rushed to banks for their money
Brief Explanations
During a stock market crash (such as the 1929 crash), widespread fear led Americans to doubt bank solvency. They rushed to withdraw their funds en masse, while banks did not have excess cash to cover all withdrawals, reduced lending, and people avoided further stock market investment.
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Americans panicked and rushed to banks for their money