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Buying stock on margin allowed investors to purchase more shares than they could with their available cash, effectively amplifying their potential gains. This practice led to increased demand for stocks, driving prices higher and contributing to the overall optimism of the bull market. As prices rose, more investors were encouraged to enter the market, further fueling the bullish trend. However, this also increased risk, as a market downturn could lead to significant losses for those using margin.
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How did buying on margin reinforce the bull market?
It allowed more people to invest in the Stock Market.
How did buying on margin help reinforce help the bull market?
It allowed more people to invest in the Stock Market.
How did buying on margin help reinforce the bull?
It allowed more people to invest in the Stock Market.
What does it mean to buy a stock on margin?
buying stock on margin is buying stock with money you dont have. in essence buying with credit. this is now illegal i believe as it was one of the culprits behind the great depression
What is the term for buying stock with borrowed money?
Margin.
What is buying on margin?
its borrowing money to invest in the Stock Market
What Securities and Exchange Commission formed in 1934 during the First New Deal still operates today by?
regulating the Stock Market and restricting margin buying.
How did buying on margin reinforce the bull market?
It allowed more people to invest in the Stock Market.
What did the federal security act do?
Regulated stock market and restricted margin buying.
What term is used to describe when stock prices quickly and steadily increase?
a buying on the margin.
How did buying on margin help reinforce help the bull market?
It allowed more people to invest in the Stock Market.
How did buying on margin help reinforce the bull?
It allowed more people to invest in the Stock Market.
What does buying on margin mean?
Buying on margin is borrowing money from a broker to purchase stock.
What is buying stock on credit called?
Buying on margin.
Which situation helped cause the stock market crash of 1929?
People bought stocks on margin. Wages dropped for most workers The housing market declined.
What does it mean to buy a stock on margin?
buying stock on margin is buying stock with money you dont have. in essence buying with credit. this is now illegal i believe as it was one of the culprits behind the great depression
What where two reason for poverty in the 1920s?
Stock market crash due to buying on margin and overextention of credit to buy consumer goods.
