What was buying on margin in the 1930s?
What was buying on margin in the 1930s? People Bought Stocks With Easy Credit The concept of “buying on margin” allowed ordinary people with little financial acumen to borrow money from their stockbroker and put down as little as 10 percent of the share value. How did buying on margin lead to the crash? How did buying stocks on margin contribute to the stock market crash? As stock sales made prices fall, brokers demanded loan repayments from investors who had bought on margin, which forced them to sell their stock, setting off further decline. What was the safest investment during...