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2. The U.S. faced overproduction--farmers were creating much more food than necessary and not getting paid enough; uneven wealth distribution--the richest 5% received 33% of income, 60% earned < $2000/year
Families were too poor to buy goods, goods were overproduced and not sold, factories cut back and laid off
workers, thus a downward economic crisis.
3. Foreign investors see the problem and pull out of American affairs; U.S. places high taxes on foreign goods, others place high taxes on, world trade crumbled; Austria's largest bank fell; prices of goods in Latin America dropped
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