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This is true.
In the years leading up to the crash, many people were caught up in the hopes of making fast money leading to heavy borrowing in order to buy even more stock when things were looking up. Unfortunately, this also created massive speculation on the true value of stocks as more and more people began buying on what they thought the stocks were worth than on their fundamentals.
true also the banks closed down and the people that saved their money didn't get them back and this is how like the great depression started well one of the reasons of how it got started