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1. Income InequalityRobert S. McElvaine, a historical past professor at Millsaps Faculty in Mississippi and author of “The nice Depression: America 1929-1941,” says that the U.S. shifted during the 1920s to an economy closely dependent upon consumption of mass-produced goods, ranging from automobiles to radios. While gross sales of these merchandise drove up income for manufacturing unit homeowners and retailers, most American employees’ wages grew far more slowly. Finally, he notes, “individuals didn’t have enough cash to buy more things and keep the economic system going.” Companies tried to cope by extending shopper credit score and permitting people to regularly repay their purchases, but they did not have sufficient revenue to keep shopping for new stuff as well.
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