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Question
- which of these was a result of federal deregulation in the 1920s?
○ consumerism grew.
○ more businesses were started.
○ fewer people could buy stocks.
○ the stock market rose dramatically.
Federal deregulation in the 1920s loosened restrictions on financial markets, including relaxed rules around stock trading and margin buying. This led to a surge in stock market activity and a dramatic rise in stock prices. While consumerism growth and new business formation were trends of the era, they were not direct results of federal deregulation, and deregulation actually made it easier (not harder) for people to buy stocks.
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The stock market rose dramatically.