What was the reason for the profusion of stock?

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25-07-2024
Business

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What was the reason for the profusion of stock?

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GinnyAnswer GinnyAnswer · Answer 1 · 2024-07-25T08:54:36-04:00

Final answer:

The profusion of stock in the 1920s was fueled by a surge in demand driven by rising stock prices and speculative investments made with borrowed money.

Explanation:

Profusion of stock in the 1920s was driven by a combination of factors. One key reason was the unprecedented rise in stock prices during this era, fueled by a mix of genuine corporate profits and speculative investments made with borrowed money. As more and more speculators joined the market, the demand for stocks surged, leading to a proliferation in stock trading.

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