Why did banks stop lending money in the 1920s?

U.S banks were reduced from 25,000 to 14,000 in the late 1920s. .. As the depression wore on, more businesses failed. workers lost their jobs, and bank loans were not repaid. people withdrew their cash to live on, instead of saving it. Banks could not keep up with the demands for withdrawal of funds

Explanation:

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answer; /// i believe that the correct answer is( it left behind rich

explanati“there were many such dangers, in which the odds were all against them. their children were not as well as they had been at home; but how could they know that there was no sewer to their house, and that the drainage of fifteen years was in a cesspool under it? how could they know that the pale-blue milk that they bought around the corner was watered, and doctored with formaldehyde besides? when the children were not well at home, teta elzbieta would gather herbs and cure them; now she was obliged to go to the drugstore and buy extracts–and how was she to know that they were all adulterated? how could they find out that their tea and coffee, their sugar and flour, had been doctored; that their canned peas had been colored with copper salts, and their fruit jams with aniline dyes? and even if they had known it, what good would it have done them, since there was no place within miles of them where any other sort was to be had? the bitter winter was coming, and they had to save money to get more clothing and bedding; but it would not matter in the least how much they saved, they could not get anything to keep them warm. all the clothing that was to be had in the stores was made of cotton and shoddy, which is made by tearing old clothes to pieces and weaving the fiber again. if they paid higher prices, they might get frills and fanciness, or be cheated; but genuine quality they could not obtain for love nor moneyon: