Why did stock prices drop so quickly in 1929?

The Wall Street Crash of 1929, also known as Black Tuesday (October 29), the Great Crash, or the Stock Market Crash of 1929, began on October 24, 1929 ("Black Thursday"), and was the most devastating stock market crash in the history of the United States, when taking into consideration the full extent and duration of its after effects. The crash, which followed the London Stock Exchange's crash of September, signaled the beginning of the 12-year Great Depression that affected all Western industrialized countries.

by 1890, the united states had by far the world's most productive economy. american industry produced twice as much as its closest competitor--britain. but the united states was not a great military or diplomatic power. its army numbered less than 30,000 troops, and its navy had only about 10,000 seamen. britain's army was five times the size of its american counterpart, and its navy was ten times bigger. the united states' military was small because the country was situated between two large oceans and was surrounded by weak or friendly nations. it faced no serious military threats and had little interest in asserting military power overseas.

for the united states of america, 1945 to 1964 was a time of high economic growth and general prosperity. it was also a time of confrontation as the capitalist united states and its allies politically opposed the soviet union and other communist countries; the cold war had begun.

explanation: