Can you list three causes of the 1929 stock market crash?

The first was the absence of any meaningful regulation to prevent abuses by insiders. This meant that the markets were corrupted internally, which made them vulnerable. Another was the simple law of gravity. Things can only go so high before reality brings them back. Investors were paying absurd prices beyond the actual worth of the stocks and bonds, and once reality set in they could only recover actual value. Given that they were all dealing on credit and maxed out they had no reserves to support them when their loans came due. Third, and this is a big one, the culture of "profit taking" is actually that of failing to reinvest. Corporations have infrastructure as much as countries do. If they do not reapply some their profits to the production plant they lose their ability to compete. These are causes of the 1929 crash. They are causes of today's crash. Look up the South Seas Bubble of the 1700s. It was the biggest of its day. We never seem to learn that the CEOs must be watched.

The main cause of the market crash was the excessive "buying on margin" done by so many speculators. This was a system by which a buyer of a stock only paid for 10% of its value initially, and by the time the remaining balance was due to the broker, the value of the stock had risen by that much or more, so the buyer could then sell it back, pay off the broker what was owed, and pocket the difference. So, you could buy $1000 worth of stock for $100, wait a few months, then sell the stock for $1200, pay off the broker his $900 , and pocket the balance of $300 Pretty easy money making system, and it only costs you the 10% to do business. Ofcourse there were many who were playing with hundreds of thousands and making money hand over fist. It was a cash cow, a golden goose....at least until the value of the stock wouldnt rise, but you still owed the 90% balance to the broker. The system broke down, stocks had gotten way overvalued, and traders couldnt pay their debts. They had to sell other investments off in order to pay what they had owed, and there was massive selling, causing the stocks value to plummet. It was indeed a drastic situation. Incidentally, regarding another answerers comment on Kennedy. He was not a short seller, he simply avoided the crash by cashing out all his holdings prior to the crash. The story has it that while he was getting a shoeshine, the shoeshine boy asked Kennedy what stocks he recommended, so he could make some investments. Kennedy reasoned that if a shoeshine boy was investing in the market, that it was time to get out, which he did, and kept his fortune.

Fear, panic, short sellers. People had stocks on margin 10:100. For every $10 they bought in with they got $100 worth of stock. People even created dumb companies that made no money but whose value rose due to the enthusiasm for the stock market. The federal reserve tightened the money supply. Once people panicked it was like an avalanche it could not be stopped. The Short sellers with the foresight made heaps of money! The Kennedy's are one such example.

debt from lending to much money out to people who coulnt pay it back poor post war economy due to the US selling goods to europe while they were at war, which that market was lost after the war too much invested in the stock market so when the banks failed so did the country