What was a major contributing factor to the stock market crash of 1929?
A.
the mass withdrawals from banks
B.
the buying of stocks on margin
C.
the lack of industrial production
D.
the overregulation of the economy
B. the buying of stocks on margin
The practice of buying stocks on margin, where investors borrowed money to purchase more stocks than they could afford, significantly contributed to the stock market crash of 1929. This created an unsustainable bubble, and when stock prices began to fall, many investors were unable to repay their loans, leading to widespread panic and selling.